Importance of Employee Relations in Influencing HRM Decision-Making

This article discusses the significance of employee relations in influencing HRM decision-making and its impact on productivity and talent management. It also explores key elements of employee legislation and their influence on HRM practices.

Human Resource
management

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Explanation of purpose, scope & functions of HRM, applicable to workforce planning as
well as resourcing a business entity............................................................................................3
P2 Explain strength and weaknesses of different approaches to recruitment & selection........5
TASK 2............................................................................................................................................6
P3 Benefits of different HRM practices in context to both employee and employer.................6
P4 Evaluation of different human resource management practices in relation of increasing
productivity and profitability......................................................................................................7
TASK 3............................................................................................................................................8
P5 Significance of employee relations in context to influencing Human resource management
decision-making..........................................................................................................................8
P6 Key elements of employee legislation along with its influence on HRM decision-making..8
TASK 4............................................................................................................................................9
P7 Application of human resource management practices.........................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Human resource management is defined as an strategic approach that help in effective
management of people working in an organisation which in turn assist business to attain
competitive advantage. In addition to this, it is an effective process of recruiting, deploying,
managing and retaining staff members in an appropriate manner that impact positively on
performance of an organisation (Armstrong and Taylor, 2020). For the present report, Audi is
taken into consideration. It is a German automobile manufacturer which designs, produces,
engineers, markets & distribute luxury vehicles. The company was founded in year 1909 and its
head office is lo acted in Ingolstadt, Germany. Audi has presence in more than 13 countries and
has more than 90,00 employees. The report will cover scope, purpose as well as functions of
HRM. In addition to this, recruitment and selection approach is discuss along with their strength
& weaknesses. Further, human-resource-management practices were elaborated and importance
of employee relation is also described. In the last, employee legislations and application of HRM
in a work associated context is discussed properly.
TASK 1
P1. Explanation of purpose, scope & functions of HRM, applicable to workforce planning as
well as resourcing a business entity
HRM plays an important role as they contribute in enhancing performance and
profitability of an organisation by performing different roles that is training and development,
recruitment and selection, employee relations and so on. Performing of all this roles in a proper
manner help Audi to attain objectives within given time frame. The purpose and scope along
with functions of HRM is discuss below in context to Audi:
Purpose of HRM: The main objective of human resource management is to maintain
positive working environment and to develop an effective relationship with them so that they can
retain in the company for longer time period and enhance their productivity level. In addition to
this, there purpose is to motivating employees by rewarding and providing benefits in an
appropriate manner (Chelladurai and Kerwin, 2018). If it is talking about Audi, it introduces a
recruitment service in the year 2003 in order to help Audi centres to hire quality and talented
staff members which in turn assist in declining employee turnover rate.

Scope of HRM: It is determined that the scope of human resource management is broad
in nature and involve factors such as remuneration, manpower planning, transfer, lay-offs,
incentives and many more. In addition to this, it also involve benefits that is medical assistance,
health & safety, rest rooms, recreation service and so on. It is analysed that all such activities
help company to improve their performance as well as productivity level which has positive
impact influence on profitability and revenue of respective organisation.
Functions of HRM:
Performance management: It is undertaken as one of the important function of human-
resource-management wherein HR manager evaluate and analyse the performance of staff
members with the set standards and expectations. This assist Audi to make improvements in the
efficiency and performance of company that leads to implementation of activities in a proper
manner which in turn assist in achieving objectives timely and effectively.
Recruitment and selection: It is stated that performance and productivity of an
organisation is enhance when there is talented and effective employees exist in a company. For
this, HR department plays an important role as they make use of best recruitment and selection
approaches that help in attracting talent and hiring candidate who has the potential to perform
activities properly (Stewart and Brown, 2019). With reference to Audi, it focuses on hiring best
employee for the company and for this it make use of different recruitment and selection
methods that is recruitment advertising, aptitude test, interview guidelines, aptitude test and so
on.
Compensation and benefits: One of the important function that help in motivating and
retaining staff members for longer time period. In addition to this, it develop a zeal in employees
to implement activities properly that has impact on performance of company. In relation to Audi,
it provide both monetary and non-monetary benefits to employees that is holiday packages,
family insurance, bonus and so on. All this will help company to enhance its productivity as well
as profitability level in an effective manner.
Apart from this, there are other functions also which is performed by Human resource
management that is manpower planning, training and development, employee relation and so on.
It is stated that performing of all such functions assist in achieving objectives of company within
stipulated time frame.

P2 Explain strength and weaknesses of different approaches to recruitment & selection
There are different approaches of recruitment as well as selection that is used by
companies in order to get talented and potential candidates. The different methods adopt by
human resource manager of Audi is given below with its strength and weaknesses:
Recruitment: It is defined as method of approaching potential candidate and make them
apply for vacant position within an organisation (Berman, 2019). In addition to this, it help
business entity to short-list candidates and finding new blood for the higher growth and success
of company. The recruitment approaches adopt by Audi is discuss below:
Recruitment approaches
Internal approach: Herein, a business entity place their own employees for higher
position and also hire people who is suggested by its existing staff members. The strength &
weaknesses is given below:
Strength: It is analysed that such approach help company to save their time and cost in
order to hire candidates. The people who is recruited is familiar with culture, policies and norms
of an organisation.
Weaknesses: This approach reduce the level of creativity as well as uniqueness at
workplace as company did not hiring fresh and new blood which is important for the growth and
development of company.
External approach: It is defined as the procedure of finding as well as attracting talent
outside the company. In addition to this, Audi make use of external sources so that they can
bring fresh talent and suitable candidate for company. The strength as well as weaknesses is
discuss below:
Strength: One of the major strength of such approach is it help in bringing new and
different idea at workplace that impact positively on growth and success of respective
organisation (Macke and Genari, 2019).
Weaknesses: It is determined that recruiting of new employee by making use of external
sources take high time and money that reduces productivity as well as profitability of company.
Selection:
It is defined as a method of choosing effective and best candidate for the company which
meet with vacant job position requirements. The selection approaches adopt by Human resource
manager of Audi is discussed below:

Approaches of selection
Telephonic interview: It is a simplest way of selecting people and herein organisations
ask some question to candidates for further process of selection. The strength & weaknesses of
such approach are as follows:
Strength: It is determined that making use of telephonic interview selection approach
assist in saving time and money. For instance, a call of 8 to 10 minutes associate less amount as
compare to other selection approaches.
Weaknesses: It is analysed that such approach did not result in gaining information about
behaviour, expression, attitude, gesture of a candidate.
Face to Face interview: It is defined as an selection approach wherein communication
and interaction take place among employer & candidate in am effective manner (Morgeson,
Brannick and Levine, 2019). In addition to this, employer ask several question to candidates
according to their experience, education and knowledge as well.
Strength: It help employer to know about the way of taking, attitude, behaviour, handling
capability of an individual that assist in selecting right and suitable candidate for organisation.
Weaknesses: It is determine that such approach involves high time and cost that impact
negatively on overall profit margin and revenue of company.
TASK 2
P3 Benefits of different HRM practices in context to both employee and employer.
Human resource management practices is defined as a system that develop, encourage,
attract & retain employees in an appropriate manner. HRM practices used by Audi is discuss
below with its benefit to employee as well as employer:
Training and Development: It is an important HRM practice that assist in raising the
skills, competencies and knowledge level of staff members in a proper manner. In context to
Audi, it give training to its new as well as existing staff members with an objective to make them
aware about policies, norms, upgraded technologies and working process of the organisation.
This help Audi to systematically carried out activities that impact positively of productivity as
well as profitability of respective organisation.

Benefits to Employer: It is analysed that such HRM practice help in enhancing skills of
employees due to which they are able to execute activities and also able to provide service to
customer in a proper manner.
Benefits to Employees: Training and development session assist staff members to attain personal
growth & development (Zaid, Jaaron and Bon, 2018). In addition to this, improving in skills,
knowledge level help them to gain best opportunities in coming future.
Reward & Benefits: It is consider as one of the effective and best human resource
management practice that help in retaining as well as motivating employee of Audi. It is
analysed that Audi provides both monetary and non-monetary rewards to employees that is
bonus, holiday packages, family insurance etc.
Benefits to Employer: It is analysed that offering such benefits as well as rewards to staff
members motivate them to work with full zeal and attain objectives on time period.
Benefits to Employees: It is stated that getting rewards and benefits help employee to improve
their living standard and enhance image in society as well.
P4 Evaluation of different human resource management practices in relation of increasing
productivity and profitability
One of the main objective of a company is to sustain in market for longer time and to
gain profits in an effective manner. It is analysed that the growth of a company is depend on how
effectively activities is performed by employees. In relation to Audi, influence of HRM practices
is discussed below:
Rewards & benefits: It is important for human resource manager and higher authorities
of Audi to keep on encouraging staff members by providing them benefits and rewards. It help in
boosting the morale of employees and make them potential to execute activities effectively
which in turn impact positively on the overall productivity and profitability of Audi.
Training & Development: The main objective of providing training and development
session is to raise skills, knowledge and competencies of employees so that they can
systematically carry out activities and deal with customers effectively (Boella and Goss-Turner,
2019). This in turn help Audi to strengthen its market performance that assist in gaining higher
profits in an effective manner.

TASK 3
P5 Significance of employee relations in context to influencing Human resource management
decision-making
Employee relation is defined as an organisation effort in order to maintain relationship
among employers and employees. This assist company to motivate employees and retain then for
longer time period.
IMPORTANCE OF EMPLOYEE RELATIONS: Keeps employees motivated- It is determined that employee relation help a business
entity to encourage its staff members due to which they take interest in implementing
activities that has positive influence on performance of Audi. Increased Productivity- It is stated that when employee feel motivated and valued at
workplace, they take interest in activities and bring out their talent. This assist Audi to
improve productivity of employees and strengthen its market performance.
 Effective Talent Management- Employees is one of key aspect of company that assist in
gaining growth and development at marketplace (Banfield, Kay and Royles, 2018). It is
determine that employee relation assist in managing talent at workplace that leads to
employee engagement for longer time period.
P6 Key elements of employee legislation along with its influence on HRM decision-making
Healthy and Safety Act, 1974- This act was developed with a motive to secure health and
safety of staff members working in an organisation. As per this act, it is the responsibility of a
company to ensure that there surroundings and environment is safe for employees. Therefore,
HR manager of Audi ensure that they provide full safety to employees and they also take
responsibility of health of its staff members.
Equality Act, 2010- This act protects a person from any discrimination arise at workplace. In
addition to this, it clearly states protection of employees on different situations that affect staff
members mind set negatively. In context to Audi, its human resource manager review working
environment on continuous basis so that no employee feel dissatisfied and treating well at
workplace (Brewster, Mayrhofer and Farndale, 2018). This impact positively on the mind set of
employees due to which they work potentially to attain objectives of respective organisation.

TASK 4
P7 Application of human resource management practices
It is analysed that there is a requirement of marketing manager in Audi and for this some
HRM applications is given below:
JOB DESCRIPTION
JOB DESCRIPTION
Job title: Marketing Manager
Department: Marketing Department
Job summary- As a Manager of marketing manager the person has to perform in-depth
market research and to develop marketing campaigns, advertisements for company. Audi is
place where customers are important so marketing manager will have to assist company to
increase its number of customers by developing effective strategies.
Duties and Responsibilities
 Market research
 Developing new and effective promotional strategies
 Handling social accounts of Audi
 Effective applications of all plans
Qualification and Skills
 Masters in marketing field
 Team building and managing skills
 Creative and innovative
 Effective analytical capabilities
PERSON SPECIFICATION
PERSON SPECIFICATION
Job Title: Marketing Manager
Department: Marketing
Attributes Essentials Desirable
Core Competencies  Effective  Problem solving

communication and
interaction skills
 Team working &
effective leader
capabilities.
Experience  Minimum 2 years of
experience in
marketing sector.
 Have certification of
marketing and
advertising courses.
 Work experience
Knowledge  Social media
handling, digital
marketing and
different marketing
techniques.
-

JOB ADVERTISMENT
We're HIRING !!
Marketing Manager (Full-Time)
It is a career opportunity for skilled and talented people to work with international brand that is
Audi and becoming part of family. We have hob position for the post of marketing manager in
our company.
40 working hours per week along with additional benefits. The last date of application is 20th
November, 2020.
Pay and Benefits
-Germany Living Wage
-Travelling & other allowances
-28 days leave
Contact us today
 Email us on our official website mentioned on Audi
official website.
CONCLUSION
From the above study, it has been concluded that human resource management assist a
business entity to attain objectives and goals on time period as it focuses on providing positive
working environment to employees and also emphasis on maintaining effective relationship with
staff members. In addition to this, it is analysed that it is important for HR managers to make use
of best recruitment and selection approaches so that they can hire effective candidate that assist
company to enhance its performance and profitability level.

REFERENCES
Books & Journal
Armstrong, M. and Taylor, S., 2020. Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Chelladurai, P. and Kerwin, S., 2018. Human resource management in sport and recreation.
Human Kinetics.
Stewart, G.L. and Brown, K.G., 2019. Human resource management. John Wiley & Sons.
Berman, E.M., and et. al., 2019. Human resource management in public service: Paradoxes,
processes, and problems. CQ Press.
Macke, J. and Genari, D., 2019. Systematic literature review on sustainable human resource
management. Journal of cleaner production, 208, pp.806-815.
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.
Zaid, A.A., Jaaron, A.A. and Bon, A.T., 2018. The impact of green human resource management
and green supply chain management practices on sustainable performance: An
empirical study. Journal of Cleaner Production, 204, pp.965-979.
Boella, M.J. and Goss-Turner, S., 2019. Human resource management in the hospitality
industry: A guide to best practice. Routledge.
Banfield, P., Kay, R. and Royles, D., 2018. Introduction to human resource management.
Oxford University Press.
Brewster, C., Mayrhofer, W. and Farndale, E. eds., 2018. Handbook of research on comparative
human resource management. Edward Elgar Publishing.