Importance of Employee Relations in HRM

This article discusses the importance of employee relations in HRM and how it helps in maintaining a good relationship between employers and staff workers. It explores the benefits of employee relations in retaining potential employees, encouraging employee motivation, and conflict management. The article also highlights the strategies used by Tesco, a multinational firm, to establish effective employee relations.

Human Resource
Management

Table of Contents
INTRODUCTION ...............................................................................................................................3
TASK 1 ................................................................................................................................................3
P1 Purpose & functions of HRM ....................................................................................................3
P2 Strength & weakness of several methods of recruitment & selection .......................................4
TASK 2.................................................................................................................................................5
P3 Advantages of HRM practices in entity .....................................................................................5
P4 Effectiveness of HRM practices................................................................................................5
Task 3....................................................................................................................................................6
P5 Importance of employee relations .............................................................................................6
P6 key elements of employee legislation ........................................................................................7
TASK 4.................................................................................................................................................9
P7 Determining HRM practices and their application.....................................................................9
CONCLUSION..................................................................................................................................13
REFERENCES...................................................................................................................................14
Books & JOURNAL:.....................................................................................................................14

INTRODUCTION
In organisation, it is essential to focus on growth and development of business. Human
resource management refers to practice of managing people with purpose of achieving higher
performance (Bourque, 2019). Main aim of this report is to examine the impact of HRM in
business. Tesco, a multinational firm headquartered in United Kingdom. It is located at global scale
and has many competitors such as Walmart, Asda, Amazon, etc. This report comprises of purpose
and functions of HRM, strength & weakness of different method of recruitment & selection,
benefits of HRM practices, effectiveness of HRM practices, importance of employee relations, key
elements of employment legislation and application of HRM practices.
TASK 1
P1 Purpose & functions of HRM
Human Resource Management is wider and broader concept which is to be focused and
applied in proper manner. This concept comprises of staffing, recruiting, hiring etc. In relation of

Tesco, they also have effective HRM on basis of which it is easy for them to achieve higher
productivity. So, different types of functions and purposes of HRM are further discussed as follows-
Functions of human resource management
Managerial function- It is an important function in which it focuses on planning,
directing, controlling of activities in proper manner. All these task as well as activities are necessary
to be focused so that it is easy to achieve higher productivity in firm. In relation of selected entity,
HR of company execute these functions in proper manner (Bratton , 2017).
Operative functions- It is another crucial function in which it states that duties are to be
fulfilled through including of development, compensation, employment & maintenance of firm. In
relation of Tesco, they assures that situations are properly analysed so that recruitment, development
& selection are properly carried out.
Performance management- It is also to be considered as essential function of HRM in
which main role is to analyse the performance of employees & individuals. In context of chosen
firm, to determine the performance of subordinates on the job training and off the training is being
conducted. Also, other ways through which performance is determined is through feedback,
reviews, overall achievements etc.
Objective of HRM
 Main objective of HRM is to hire and select deserving candidates to fulfil the needs and
objectives of company.
 Further, other aim is to develop as well as establish a positive relationship to increase
productivity.
 Another aim of HRM is to carry out proper training and development activities in order to
enhance the skill of subordinates.
Elements of workforce planning
 Forecasting and assessment- Workforce planning is essential to be done in proper manner
so that forecasting & assessment are being done accordingly. It is important to do
forecasting so that strategies are implemented accordingly.
 Succession planning- It is also essential element of workforce planning as because
positions is known easily. It too leads to better resourcing as planning is done in most
efficient way.

P2 Strength & weakness of several methods of recruitment & selection
In HRM, recruitment and selection are to be viewed as most crucial function of HR. In
reference of Tesco, human resource of firm have ability to fulfil their roles in appropriate manner.
Recruitment and selection assist in development of business and acquiring of deserving candidates.
Recruitment is to be defined as hiring & searching of best fit candidates. Where as selection refers
to screening or short listings of deserving candidates from multiple employees (Chelladurai, 2018).
HRM Processes
There are various types of HR processes which are further discussed as follows-
Recruitment – strength
There are various types of recruitment methods which are discussed as follows-
 Direct advertising- Main strength of recruitment is that it provide ample number of
opportunities to individual & organisation which leads to increased productivity. In
relevance of Tesco, they states that they uses different types of tools & technologies to
recruit subordinates. For example- Tesco has wide number of vacant posts & they use
recruitment methods.
 Talented pool database- Strength is that it assist in development of skilled of employees &
human resource at higher scale (Diaz-Fernandez, 2017).
Weakness
 Direct advertising- Tesco manager hire subordinates at on basis of selection process pass
and fail criteria, so other talented personnel are unable to access opportunity. Another
drawback of this recruitment is that anyone can contact to company's which HR which
disrupts their work activity.
 Talented pool database- Another weakness of chosen entity is that it operates at larger
scale so recruitment is cost expensive procedure. Further, it is not applicable that appropriate
or deserving candidate can be found through this database & which leads to time
consuming.
Strength- Selection
There are several kinds of selection methods which are described as follows-
 Main strength of selection process is that it assist firm as well as employees opportunity to
access advantages in effective manner.
 Further, is that applicants are able to examine their inner capabilities & get motivated
towards new things.
Weakness
 Main weakness of selection process is that it de motivates the personnel because selection is
to be done.

 The process of selection process is time consuming & needs efficient resources.
Methods-
Strength- Letter of application-
Main strength of this method is that it helps in reflecting of a person identity.
Weakness
In letter of application, it is not possible that everything is known of a candidate.
So, explained matter reflects that it is necessary to focus on both these functions so that it is
easy to access the weakness and limitations.
TASK 2
P3 Advantages of HRM practices in entity
HRM practices are critically important which are to be adopted with proper considerations.
Tesco has a wide range of practices which are adopted by them at appropriate level. It is necessary
for human resource of firm to make assure that practices are being used in effective manner.
Advantages of employee’s
 Motivation- By using of HRM practices help personnel in increasing of their motivation
level. In case of selected entity, they uses practices on weekly basis which enhances
motivation level (Grabiec, 2017).
 Progress & performance- Another benefit of practices is that it improves the level of
subordinates which has good impact on employees. In chosen company, they track as well as
examine the performance of subordinates.
Benefits of employer
 Decision making- Main benefits to em1613996750ployer by using HRM practices is that it
helps them in making effective decisions by accessing to brainstorming & group discussion
in proper manner. So, chosen firm is able to take decisions appropriately.
 Reduces problems- It is another benefit which is obtained by employer as when HRM
practices are used it is easy to reduce as well as minimise the problems within business &
operations of firm (Hong, 2019).
From above discussed matter it states that to achieve competitive advantage it is essential to
apply business practices so that it is easy to access new opportunities. Furthermore, it has been also
examined that it is crucial to have proper analysis of internal functions & operations so that it is
easy to use practices with effective manner.
P4 Effectiveness of HRM practices
In firm, it is essential to focus on increasing of productivity & profit so that it is easy to
use resources in efficient manner. It has been too seen that there are different ways through which

profit & productivity is easily increased. In this competitive market, it is crucial to focus on
improving efficiency level of business so that entity is able to survive for longer time period. In
relation of selected firm, they uses this several kinds of practices such as training & development,
360 degree appraisal, and many more.
Training & development- Training as well as development is defined as educational
activities that help in improving of capabilities of individual in order to achieve goals. In context of
Tesco, they uses this method which assist them in accessing of positive outcome. Training and
development
Training and development is another process of firm which is to be focused and is carried
out by HR of firm within organisation. In context of selected entity, they execute training as well as
development within proper manner.
Benefits
 Main benefit of this process is that it assist in increasing knowledge of individual at higher
scale. In relation of chosen firm, training & development is processed on weekly and
monthly basis.
Limitation
 Cost involved within this process is huge and it leads to negative affect of business
operations.
Improve productivity
Training as well as development increases productivity at higher level as because when new
skills are being imparted to employees it enhances their working efficiency and that leads to
delivering of positive outcomes at workplace.
Basis Training Development
Time interval In training, time interval is either for
six months or three months.
In development, time interval
for this is one or more than one
year.
Impact In this, impact is moderate. Development has larger impact
on individual.
Focus
Training focuses on improving of skills
of subordinates.
In this, development focuses on
overall improvement.
Appraisal system- It is another practice which is used by entity as in this subordinates
overall performance and progress is analysed & then appraisal is given to employees. In relation of
Tesco, they uses this appraisal system which has deep impact on subordinates behaviour. Different

kinds of tactics & strategies are also implemented to analyse whether the individual is capable to
receive appraisal or not (Kusu, 2020).
Appraising performance
It is a process of HR in which HR of company provide appraisal to the employee based on
their performance & progress level. In case of selected entity, they also provide appraisal to their
employees.
Benefits
 Advantage of this process is that it improves motivation level of employee at higher scale.
In relation of selected entity, they appraisal is being given to employees on weekly basis.
Limitations
 Drawback is that biasness is done due to personalisation and other points of decisions. So,
selected firm of HR need to ensure such issues.
Improves productivity
Appraisal system also leads to improvement productivity as because when appraisal is being
provided to employees or individuals it leads to enhancing of work effectiveness and have good
impact on motivation level of employees. Thus productivity is increased at higher level.
Therefore, from above discussed matter, it is seen that HR processes and methods are
beneficial to be used so that goals are accomplished. Strategy which can be used is training and
development because it leads to improvement for longer time interval. Furthermore, it is essential
to use this strategy because it develop overall performance of employees that leads to positive
outcomes.
Task 3
P5 Importance of employee relations
Employee relations is defined as an activity that is performed to maintain & manage
effective relationship between employers and staff workers. Good employee relation is established
on basis of four factors that are open communication, gratitude, consistent reviews and investment
in human resources. In context with Tesco, managers have observed different issues that
organisation faces in relevance with employees of organization. These consist of conflicts arising at
workplace, remuneration issues, leave disputes, attendance absenteeism and no career enhancement
profile etc. In order to solve all these challenges faced within corporation, concept of employee
relations has been adopted by superior management to meet up goals effectively. The concept
typically focus on identifying key solutions to workplace issues by measuring worker satisfaction.
Managers of chosen firm are providing supportive guideline to staff individuals or teams and
adopting a well built structure for systematic functioning of company procedures as per set

standards (Madera, 2019).
Human resource department of Tesco is responsible for taking effective decisions that help
employees boost productivity of company business as well as maintain good employee relations
with use of appropriate strategies. Some important benefits of using employee relations in
influencing decisions are discussed in following points:
Retain potential employees: Good communication with employees on consistent basis help
Managers of Tesco know actual capabilities, skill competencies and talent of every individual
working at organisation. This help them identify best performers and lead them with progressive
opportunities to retain them in long run. Many time subordinates don't feel motivated to work any
more that results in rise of departure and absenteeism rates. In context with Tesco, leaders have
formulated various training programs to encourage individuals towards breaking monotonous
environment & keep on working hard with same efficiency level.
Encourage employee motivation level: Managers at workplace create different strategies to
establish good relationship with workers as it creates sense of fulfilment amongst staff employees.
In context with Tesco, Human resource manager have formulated plans regarding launching mind
games to enhance intellectual ability of employees, fun activities during breaks to give staff workers
time to regain power etc.
Conflict management: Strong employee relations help managers at workplace reduce
conflicts and manage coordination between teams. There are many subordinates that work within
organisation belonging from distinct places or backgrounds. Employees migrating from various
localities have varied cultural beliefs as well as languages they speak that make them different from
others at workplace. People therefore have contradictory thoughts or opinions on one particular
subject discussed at chosen corporation. This leads to conflicts amongst informal groups or
individuals with majority (Meacham, 2017). Therefore, Tesco managers regularly train employees
for promoting cultural diversity, respect each others religions, etc. helping them build strong
employee relations.
P6 key elements of employee legislation
Employee relations play significant role as it help monitor an manage human resource
within organisation. Since human resources are creative minds of an organisation, they are ones
who can help company earn maximum profits. This term showcases relationship between
subordinates and employers at workplace. In context with Tesco, managers have identified many
importances or benefits to employee relations discussed below:
Benefits
Increased productivity: This component help organisation determine growth with respect to
its environment and resources utilised. In relation to Tesco, for increasing their productivity units,

good work environment is important that can be achieve through maintenance of employee
relations. Leaders of organization make sure there is proper coordination of activities amongst
different levels of organisation. This help employees interact with their superiors & same level team
mates effectively to achieve company goals within time. Accomplishment of goals become easy for
managers with coordinated and motivated staff members enhancing productivity at broad level.
(Noe, 2017).
Enhanced motivation: Corporations with a clear vision are successful in maintaining
employee relationships with completing mission of entity. There are a lot of initiatives taken by
Tesco to make sure organisation employees stay motivated towards their work task. These methods
include performance appraisal tools, incentives, monetary benefits, recognition awards etc. Leaders
therefore have capability to encourage employees in various ways by initiating interpersonal
relationship with every team members of formulated groups.
Drawbacks
Lack of proper communication channel: Many times it has been found that organisations
have sufficient staff to complete activities rather don not have clear guidelines based on which
employee functions. In relation to Tesco, managers have observed main cause of conflicts arising at
workplace is lack of coordination or improper way of communication. At times of extreme work
pressure situations business face losses and productivity issues.
Legislations are laws formulates and regulated by government for protecting country
citizens within society as whole. Organisation follow these legislations to make sure that all
business activities are carried out under specific laws in consideration with company rules &
regulations. In context with Tesco, maintain goodwill of company in market place by systemically
following every set legislations introduced by government for retailing businesses. This help
manager maintain reputation within retail industry and increase profit margins accordingly with
additional units produced as per customer requirement.
Employee legislation components
Employment rights Act: This act showcases various rights of an employee one should know
while working at organisation. Following act was established in 1996 to provide better working
environment to company staff members focusing on different factors such as employee health,
safety and security. In reference with Tesco, HR managers have made multiple decisions or
strategies that help the identify if there are any unfair practices going on with employees. After
determining employee issues appropriate action is taken to ensure everyone is treated equally at
workplace.
Disability discrimination Act: This act states that capable candidates with any kind of
disability should get extra monetary benefits and facilities by organisation effectively. In relation to

Tesco, Human resource department have facilitated disabled employees with various facilities such
as rest rooms, wheelchairs etc. This help special ability employees to help them complete roles and
responsibility systematically as per their convenience.
Equality relation Act: This act lay emphasis on minimizing discrimination at workplace
with employees. Following law determines various ways through which employees get fair chance
to represent their queries and issues. In context with Tesco, mangers make sure their strategies
create awareness among staff members so that every employee is treated fairly and equally at
chosen corporation.
Impact of HRM decisions
TASK 4
P7 Determining HRM practices and their application
HRM practices are necessary for management of organisation to ensure growth of business
operations. One of most frequent HRM practices performed at Tesco is recruitment and selection
practice discussed below:
Main cause
Main aim behind applying this practice frequently is to acquire and retain talented potential
candidates in organisation that have excellent skills, creativity and reasoning abilities. This help
Tesco in providing valuable human manpower to organisation for varied job roles assigned.
Recruitment and selection: This HRM practice deals with hiring of appropriate personnel to
establish goal of organisation. In relation with Tesco, uses internal and external sources that
includes social media, hiring portal sites, promotions, candidate with recognised relation, and talent
acquisition tools etc. These sources are helpful for HR manager to select suitable applicants for
particular job positions vacant within organisation.
Digital technology impact on recruitment and selection procedures by HRM decisions
On call interview selection: Recruitment is first step that attracts potential candidates to
apply for a certain job profile vacancy. Furthermore, selection is step of scrutinizing best employees
from various applicants suitable for job position. In context with Tesco, mobile interviews are taken
at first to know their basic skills such as communication, academics, experience and qualifications
etc.
Social media promotions: In today modern era, almost every young professional is actively
using social media sites or applications. So, Tesco have step ahead to use an ATS system that help
digital marketers of firm track social media applications and post any vacancy requirements on
consistent basis.
Interview description and HRM practice application

Research & analysis: It is useful for person applying for a certain job profile to first analyse
the vacancy requirement by organisation. This help applicant know weather they have desired skills
or abilities to fulfil job position or not.
Job specifications:
Job Specification
Organisation: Tesco
Job designation: Social media manager
Job purpose: Main goal is to promote company posts and site offers on social media platforms
with relevant content including Instagram, YouTube, Facebook and twitter handles etc.
Roles and responsibilities:
 Should be able to coordinate with all departments of organisation for appropriate data
analysis.
 Show have good knowledge about various digital platforms and procedure followed for
social media promotions.
 Should have capability to build a network with creative content writers and similar
social media accounts.
 Should know how to do optimum utilisation of company resources.
Required skills and experiences:
 MBA with digital marketing, entrepreneurship skills, social media applications
knowledge form recognized college or university.
 Post graduate in marketing or entrepreneurship field.
 Should have good presentation, communication and content creation skills.
Job offer letter:
Offer Letter
Organisation Name Tesco
Job position Digital Marketing Manager
Location United Kingdom
Reporting person Human resource executive
Roles and responsibilities  Creative mindset to design innovative
campaigns, promotional posts and
attractive vacancy content.
 Determine market trends through

effective industry analysis of
competitors and customer requirements.
 Ability to regularly update website, do
good AdWords promotions, digital
marketing tools such as search engine
optimisation , marketing etc.
Working Hours 10:00 am to 6:30 pm
Employee accommodation  Positive working environment with
coordinative task executions on time.
 Hygienic office rooms and
accommodation facility to migrating
individuals with travel allowances etc.
Curriculum Vitae:
CV
Name: Ms. XYZ
Contact details: 1236789
Email address:[e-mail]
Location details: ABC street, London, UK
Job position: Digital marketing analyst
Effective leadership and interactive skills to maintain employee relations & motivate group
individual complete task within specific deadlines. Intellectual ability to make quick decisions s
and strategies for achievement or company objectives.
Academic qualification:
 Graduation: Bachelors in business management from Oxford University, UK IN 2011.
 Post graduation: MBA in entrepreneurship and marketing from Oxford university. UK
in 2014.
Professional experience:
 Organisation Name: Delloite, UK
 Duration: 4 years( 2016-2019)
Position: Marketing executive
 Organisation Name: M&S

 Duration: One Year (2020)
Position: Marketing analyst
Key skills:
 Effective interactive skills
 Leadership and intellectual abilities
Process Evaluation:
Induction and training development: Recruitment is necessary HRM practice exercised by
organisation to hire skilful individuals with appropriate talent and creativity. Only recruiting
employees is not sufficient for staff to adapt to organisational environment. Therefore, training of
employees on consistent basis is mandatory to make them achieve their targeted goals efficiently. In
context with Tesco, managers conduct development programs with good career opportunities,
knowledge on desirable fields and new technologies helping company workers work effectively.
(Bourque, 2019).
Performance appraisal and remuneration benefits: Appraisal of employees giving their
best performances is also significant for organisation to retain them for a long period of time. This
help Tesco reduce cost of recruitment and induction programs with using existing candidates in
multiple tasks by training them on how to perform varied work projects. Chosen firm uses 360
degree appraisal tool to analyse employee performance and extra efforts. Accordingly HR manager
provide incentives, fringe benefits, allowances and promotions to capable candidates as per their
work (Bratton , 2017).

CONCLUSION
The following report showcases various business activities in recruitment & selection of
human resources through HRM decision making processes. Following report give detailed
evaluation on HRM acts and procedures followed by chosen organisation. There are various internal
and external factors that impact work culture within organisation. Concept of employee relations
also has been explained with their affect on organisation decisions for employees at workplace.
Demonstrations on job specification , offer letter and profile for employee hiring has been
highlighted in above assessment. Furthermore, selection and recruitment process have been
critically evaluated on basis of performance appraisal and training development programs.

REFERENCES
Books & JOURNAL:
Bourque, 2019. Letters of Recommendation. Journal of graduate medical education, 11(4),
pp.479-480.
Bratton , 2017. Human resource management: theory and practice. Palgrave.
Chelladurai, 2018. Human resource management in sport and recreation. Human Kinetics.
Diaz-Fernandez, 2017. HRM practices and innovation performance: a panel-data approach.
International Journal of Manpower.
Grabiec, 2017. Recruitment and Selection in the Opinion of Small and Medium Enterprises
Employees. Zeszyty Naukowe Wyższej Szkoły Humanitas. Zarządzanie, (1), pp.57-69.
Hong, 2019. Collaborative-based HRM practices and open innovation: A conceptual review. The
International Journal of Human Resource Management, 30(1), pp.31-62.
Kusu, 2020. A study on recruitment and selection.
Madera, 2019. Raising doubt in letters of recommendation for academia: Gender differences and

their impact. Journal of Business and Psychology, 34(3), pp.287-303.
Meacham, 2017. HRM practices that support the employment and social inclusion of workers with
an intellectual disability. Personnel Review.
Noe, 2017. Human resource management: Gaining a competitive advantage. New York, NY:
McGraw-Hill Education.