Benefits of HRM Practices

Human Resource
Management

INTRODUCTION
Human resource management is explained as practices of hiring, enlist, training,
monitoring, selecting etc. of employees and turning them into valuable assets for the company. It
is important to perform continuously in the working premises as it assist to gain productive
results as compare to competitors. The top level management is liable to make changes in the
HRM practices as per the requirements. Human resource management in an organization is a on-
going process and goes on and on. Inaccuracy in HRM policies affect the overall workforce
efficiency of the staff members to a large extent. The assignment is based on Merrill Lynch Firm
which is situated in central London. Individual is hired for the post of human resource assistant
whose job it to assist all HR activities of the firm (Analoui, 2018). This firm is a American
investing and wealth management division of bank of America. The project covers purpose and
function of HRM. Also, strength and weaknesses of the recruitment and selection is studied.
Moreover, how HRM practices affect the productivity and profitability ratio is examined.
Additionally, how building good relations influence HRM decision making process is analysed.
Various legislation laws are studied to understand their pros and cons.
TASK 1
P1 HRM function and its purpose
HRM (Human Resource Management) is a effective approach in which all the activities
are managed and monitored by human resource department in an administration. This includes,
hiring, training, ,monitoring, recruiting, conducting orientation programmes etc. for employees
so that they easily adjust with the new environment and job profile. The scope of this is very
wide in nature and is implemented by every small and big enterprise. By effectively performing
human resource management aspects business administration is able to cope up with the external
environment. Top level management of Merrill Lynch Firm frame strategies by scanning the
dynamic environment as it leads to accomplish set goals and objectives in the set time duration.
It core feature of HRM is to create and manage cordial relations among staff members working
at distinguished stages in a company.
Functions of Human Resource Management:
 Training and Development:Training is provided to new and fresh candidate so that they
can better understand their job profile. By doing so best outcomes can be achieved in the
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intense competitive world. Training is a continuous process and is provided to the skilled
and potential staff members as and when required. Whereas, development is done fore
the section of the employees irrespective of new or old (Boon and Boselie, 2018). The
main function of HR department is to render best training and development sessions to
the workers of Merrill Lynch Firm. As it will raise their capability and abilities towards
work to achieve the set standards.
 Recruitment and Selection: Recruitment is defined as hiring experienced, capable and
knowledgable participant from the number of CV applied for the job vacant. This plays a
significant role in business administration growth and development in long term.
Whereas, selection refers to as choosing the most appropriate and deserving candidate
from the pool of applicants for the vacant position. The main functio0n of HRM is to
hire best qualified and suitable nominee who is able to perform their job responsibility
effectively. In regards to Merrill Lynch Firm Human Resource department study actual
demand of work force within the organization and accordingly conduct recruitment
criteria. This helps to select most deserving participants from numerous applicants
applied for the job profile.
Purpose of HRM functions along with their roles and responsibilities
 Creating and managing relations with employees: To grow the business in the global
market it is important to build strong relations with staff members as it indirectly raises
goodwill in the market. The main purpose of Human Resource Management functions is
to hold-up effective bond between the workers as it eliminates conflicts and boost
employees to work more efficiently and efficiently. In competitive environment the roles
and responsibilities is to involve in decision-making process which will raise their morale
value and assure them that they are a valuable asset for the administration (Bratton and
Gold, 2017).
 Performance appraisal: Organization monitors all the activities of the employees and
accordingly conduct the performance appraisal programmes. This particular act boost
staff members overall workforce efficiency which is a positive mark for the enterprise.
Appraisal is given to the deserving nominee by examining the performance of the
workers in every single aspect. Timely appraising the staffs motivates them to perform
the task more sincerely and accurately.
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SOFT skills: In this step of HRM the employees are treated as the most important in the
company because they can get a competitive advantage to the company and that is a very
important factor for this company. The employees are very important in any organization, and
they are treated like they are very much a part of the company and are appreciated for there kind
of work. The focus is on the employees skills and the plans of the company are made accordingly
and it is done this way because the employees gets to use his developed skills in the industry.
Company also focuses on the needs and wants of the employees because the employees are in the
company because of that purpose. In context with M&S the employees are treated equally and
fairly because they are the backbones of the company and the company makes strategies which
the employees of the company can fulfil the expectations of the company and the employees and
the communication in the industry is two-way which is between the employees and the
employers.
HARD skills: In this approach of HRM, Employees are treated as resources within business
organisation like machinery and building. Employees are controlled in a way that they work as
per their potential and desired goal is achieved. In this, there is strong link with corporate
business planning just like what resources are required, how to get that resources and how much
will they cost. The concentration of HRM is to identify workforce needs of the business and
recruit and manage accordingly (Brewster and Farndale, 2018).
Human resource of Merrill Lynch Firm adopts Soft skills in their working premises.
Merrill Lynch Firm top-level management is benefited by Soft skills as it assist to overcome any
kind of resistance, conflict, chaos etc. occurring within administration.
Significance of HR in acquiring Talent:
Human Resource aid in acquiring talent in a firm by systematically recruiting and
selecting staff members who have greater ability to perform work in proper manner. Along with
this aid enterprise to meet company goals and objectives. Here, HR selects appropriate candidate
and provide them training facilities which would help them to perform effectively. This provide
the advantage of attaining higher profitability and productivity.
P2 State strengths and weaknesses of various approaches to recruitment and selection
Best Fit approach: This approach lays focus on that organization make use of that methods which
can improve their culture. This approach can support firm in improving the efficiency of
employees.
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