Strategic Human Resource Management

This assignment delves into the field of strategic human resource management (HRM). It requires students to analyze various aspects of HRM, including its definition, role in organizations, and relationship with broader business strategy. The provided texts offer insights into key HRM concepts, such as talent acquisition, performance management, employee engagement, and organizational change management. Students are expected to demonstrate their understanding of these concepts by critically evaluating the presented information and applying it to real-world scenarios.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1...........................................................................................................................................1
P1 Purpose and functions of HRM..............................................................................................1
P2 Strengths and weaknesses of different approaches to recruitment and selection..................2
TASK 2............................................................................................................................................3
P3 Benefits of HRM Practices....................................................................................................3
P4 Effectiveness of HRM Practices............................................................................................4
TASK 3............................................................................................................................................5
P5. Examine the importance of employee relations in respect to influencing HRM decision
making.........................................................................................................................................5
P6.Determine the key element of employment legislation and its impact it upon HRM
decision making process.............................................................................................................6
TASK 4............................................................................................................................................8
P7. Application of HRM practices in work related context of Aldi company............................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Human resource management is an important function in an organization that focuses on
various aspects like recruitment, management and providing directions to its employees. HR
management includes employee engagement activities that contributes to the productivity of the
organisation (Alfes and et. al., 2013). In this present assignment, ALDI from HR Perspective is
discussed. The company considers its employees as an important asset and for them it has
created friendly environment to make them comfortable and part of the organization. The
company provides job security, various training courses to employees for their personal
development. The company focuses on equal opportunities, providing pay and benefits to its
employees and creates a culture of creativity and excellence to deliver customer requirements.
This project includes workforce planning, resourcing , approaches to recruitment and selection of
employees, benefits and effectiveness of different HRM Practices for both employer and
employee contributing in the productivity and profitability of the organization.
TASK 1
P1 Purpose and functions of HRM
In today's scenario, HRM is an organisational function that provides directions to the
employees and enable them to contribute in the organizations productivity and fulfilment of
goals. It is an strategic approach that improves the quality and ability of the organization. HRM
is a tool which helps the employees in demonstrating their value by performing a balance work
to serve all the stakeholders of the organization like customers , executives, owners, managers,
employees and stockholders.
The function and purpose of HRM in ALDI workforce planning and resourcing includes
maximization in productivity and profitability by employing right number of people at right
place and right skills at right time (Bratton and Gold, 2012). Workforce planning in the company
is a part of its strategy and providing guidance to the employees by way of training and
providing equal opportunities to its employees. The purpose of Human resource management in
ALDI is to plan, implement policies and programmes for making effective use of the human
resources of the organization.
While the major functions areas of the human resource management includes planning,
staffing, employee development through training and orientations and employee maintenance.
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The company uses these functions in achieving common objectives of employees as well as the
company itself. The skills, abilities, knowledge and experience of the employees are considered
as major contributors towards the development of employees (Lengnick-Hall, Beck and
Lengnick-Hall, 2011). For ALDI, the human resources are considered as the effects of workforce
diversity, legal implications, interdependence of training and professional development which
contributes in its strategic operations. The company focuses on providing training to its
employees and paying them above the market rates in order to make them satisfied about their
work .The company also benefits and compensation to its employees along with non traditional
benefits like flexible working hours, paternity and maternity leaves, vacations, and various other
ways to motivate existing employees and attracting and retaining skilled employees. The
company also focuses on recognizing the value of their employees who works effectively and
efficiently for them.
P2 Strengths and weaknesses of different approaches to recruitment and selection
Recruitment and selection in any organization plays an important role in hiring of skilled
and capable employees. The Human resource management process like job design, performance
appraisal, succession and career planning , promotion, etc. are also related with recruitment
process (Boxall and Purcell, 2011). The recruitment and selection process of ALDI company
includes the process of locating and encouraging capable applicants to apply for the existing or
future job vacancies. These includes a variety of approaches like In house recruitment which
includes internal recruiters, employee referral, outsourcing, employment agencies, internal
recruitment services, etc. These approaches of recruitment and selection takes for various
strengths and weaknesses. The strengths and weaknesses of these approaches are:
 The strength of In house recruitment is that it gives chance to its employees to change the
job position, quick decision making, saving in cost of training and recruitment, provides
multiple opportunities while the weakness is that due to unclear rules and policies, the
best employees of different units and different managers are easily misplaced, does not
promote inclusion of new skills and reduces the possibilities innovative ideas to be
implemented. The company uses the in house recruitment by promoting its employees
and making them skilled.
 The strength of external recruitment are that it provides opportunities to the skilled and
dynamic people to grow and contribute in the profitability of the company while the
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weakness of this is that the skilled and capable people are not always provided with the
desired profile job. The candidate can lie to the recruiter to present them suitable for the
job. The process of external recruitment is considered as expensive and time consuming
due to advertisement cost, selection process. The company make external recruitment to
provide opportunities to the skilled and capable employees and provide them training for
better performance of work.
TASK 2
P3 Benefits of HRM Practices
Every organisation implements HR Practices to give competitive advantage. HRM
practices in ALDI includes attracting and retaining skilled people, providing training to them for
various challenging roles in the organization, developing competencies, promoting team work,
job satisfaction and better relations for employment opportunities (Choi, 2011). The HRM
practices provides benefits to both employer and employees like:
 Personal development of employees: the HRM practices followed in ALDI by employer
helps in developing the personal skills of the employees which makes them capable
enough to put their best efforts during their performance.
 Creation of cooperative place: it also makes its employees supportive and creates a
cooperative place where group development is equally important as individual
development.
 Creates culture of creativity and excellence: it helps the employer in implementing
creative ideas and the employees to work as per their excellence which makes the
company best in its services.
 Delivers what customer needs: the company through its practices develops and delivers
its services to its customers according to their needs and requirements so as to achieve
trust of customers.
 Enhances decision making: HRM Practices also enhances the decision making power of
the employer as well as employees. As in ALDI the employees are considered as a part of
the organisation and their decisions are also valued.
 Promotes performance of variety of tasks: the practices also promotes the performance
of variety of tasks in efficient manner by the employees in the company.
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 Enhances leadership skills among the employees: as the decisions of the employee in
the company are valued, these promotes and helps in enhancing the leadership skills in
them through personal development (Renwick, Redman and Maguire, 2013.)
 Performance of various employee engagement activities: the practices followed by the
company helps the employees to perform in various employee engagement activities like
lack of absenteeism, innovative idea generation , etc.
 Helps in attaining equilibrium between employer and employee goals: it also helps in
creating and maintaining a balance between the employer and employee goals through
effective measures.
 Helps employer in hiring highly capable employees : the company follows the HRM
practices to hire highly capable employees which can later prove as an important asset for
the company and also a support in the productivity and profitability of the company.
P4 Effectiveness of HRM Practices
HRM is a planned approach in managing people which are effective for performance
aiming to establish an open and flexible management system so that the staff is motivated and
developed. Increasing productivity and profitability is considered as an important aspect for
every company (Hendry, 2012). In the competitive world the HRM Practices are taken as the
basic element of success. These effects the employees' abilities through productivity and also by
improving firm's workforce. In ALDI these practices enhances the performance of the firm by
supplying the organizational structures that encourages participation among employees and
allowing them to enhance their jobs.
The effectiveness of different HRM Practices contributing in raising organizational profit and
productivity are :
 Innovative and high performance of employees: the innovative and high performance
of employees enhances productivity of the company and is considered as an effective
HRM Practice. This is because the company takes its employees as an asset and value
their innovative ideas and their implementation (Jiang and et. al., 2012).
 Execution of directions in effective way: the company also raises its profit and
productivity by giving its employees directions for work and the employees execute them
effectively.
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 Commitment of employees towards work: the employees of the company also
contributes in the profitability by their commitment towards the work.
 Team and individual goals: the company has an outlook for framing the goals to
achieve. These team and individual goals and their accomplishment help the company in
raising its profit and productivity.
 Resource allocation: the company provides with updated tools, technology and
equipment along with allocation of budget and management which enhances internal
productivity along with providing high quality service.
 Integration of employee skills and knowledge: by following the practices the
employees of the company are able to increase their learning, knowledge and skills with
reduction in the idle time at workplace.
TASK 3
P5. Examine the importance of employee relations in respect to influencing HRM decision
making
Employee relation basically include the communication process between the employer
and employee in workplace in order to achieve the personal and organisational goals and
objectives. To improve and maintain the employee relation in a workplace that helps to decision
making process taken by human resource department (Barney, Ketchen and Wright, 2011).
These factors are not changing over time, this helps to maximise the retention and recruitment
process and reduce any issues relater to employee performance. If the strong communication
between the employees and employers , it is essential part of every organisation. Aldi company
maintain their employee relations that helps for in order to achieve high productivity and larger
number of customer satisfaction. This cited company develop their superior and subordinate
relationship providing the safe and healthy environment. The company maintain their employee
relations it leads to encourage their motivation factor and large number of employees are doing
their task in productive manner it will influence the decision making process of human resource
department (Guest, 2011). The importance of employee relation that influence the decision
making process of Aldi company:
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Decision problem: In every company, there are many issues and circumstances relate to
matters in which the single worker are not able to take decision alone. This individual worker
wants some advices and suggestion from other employees in the workplace (Batt and Colvin,
2011). Some workers have innovative idea which would help to achieve company targets and
goals.
Sharing process: This cited company maintain their healthy relation with their superiors
and subordinates, so they divide their work to all workers in order to achieve goals and
objectives of company. They also worked to divide the responsibilities among team members in
order to accomplish designed goal within time.
Motivation factor: This is important factor which helps the human resource manger for
decision making process. Every employee feel the importance in the company so they give the
effective performance.
It helps to reduce conflicts and fight among workers: If the company maintain their
employee relation, this also helps to workers are not spoil their times in fights and conflicts.
They start the felling like friends so make everyone happy, so they can work to their best as
possible in order to achieve company goals and objectives.
Remove the absenteeism problem: This is most importance significance of employee
relation that influences the hum,an decision making process (Bratton and Gold, 2012).
Employees are feel more sincere to their work, they do not take the leaves without any reasons so
this reduce the problem of absenteeism in organisation.
Embracing equality: This cited company mainly established the environment which are
fair in nature. They provide equal employment opportunities to all workers in their company
without using discrimination factor such as race, caste, religion, culture, gender etc. If the all
employee feel equal then they are doing their work hard and give effective productivity in long
run.
P6.Determine the key element of employment legislation and its impact it upon HRM decision
making process.
Every country has its own employment laws, rules and regulations that impact the
employee relations, their criminal records, retention process etc. Some laws and legislation
affects the human resource decision making process at geographical level. Small sized enterprise
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are sometime the exempted for this laws and regulations. Various elements of employee
legislation and their impact in human resource decision making process are as follows:
Anti discrimination act: This act forbid the discrimination against all employees in term
of races, caste, culture, religion, sex and national; origin. This act states that the company who
employees 15 or more workers in every day , more than 20 weeks during the current year have
come under this act. Employers are not terminate their employee on the basis of discrimination
factor such as caste, religion, sex, culture. This act are not apply to those enterprise which have
less than 20 workers employed (Chelladurai and Kerwin, 2017). This rules and regulation impact
the human decisions , they recruited their employees on the basis of their skills and knowledge
not the discrimination factor.
Wage and hour act: This act states that some minimum wages are given to their
employees that are mentioned in this act. All company work and set the employee payroll slips
according to this act. This impact the human decision making process in which this professional
should regularly verify the quantity of the wages paid to employees. This also helps that Mangers
see their workers are doing their job with full capacities and potential.
Leave provision act: This act implies for those employees has taken 12 weeks leaves of
unpaid leaves in a year for different kind of purposes such as if the serious health condition of
worker, his and her any family member. This legislation also impact the human resource decision
process in a way that HR professionals should arrange training and development programme
providing training to their manger and workers in relation to matter of leave.
Medical and disability: This law sates that every company provide various medical
facilities to their employees accordance to this act (Daley, 2012). This act prohibit the
discrimination among employee on the basis of disability. This act also allow their employers to
provide the accommodation facilities to their employees especially those who are disable or
handicapped due to accident. This legislation impact the human decision making process , HR
professional must train their superiors to get knowledge of all employees who has treat some
medical treatment.
Human right act: This act relate to recruitment procedure. Company are recruited their
workers in term knowledge and abilities not discrimination on the ground of religious believes,
any family known both in society and workplace. This impact the decision process taken by
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human resource department of this cited company , they worked basically for human right that
are free from any restrictions which are imposed by regulatory bodies.
TASK 4
P7. Application of HRM practices in work related context of Aldi company
Employee specification: Every person are specialised in different area of knowledge and
skill, this is most important process of effective recruitment and selection. With the help of this
application, this cited company want to hire the person that have particular knowledge relate to
job context. Company easily assess their employees in fair and objective manner. This will helps
to company that they were compare all applicants against each other and select the best option as
possible.
Job requirement are specific and measurable: In this application, it helps to recruiters
to compare the capabilities to their job seekers ,they see that the job applicant is able to full the
requirements which are exist in company (Fine, 2012). All information and data provide by
human resource department are specific and measurable.
Job description: IT means that this cited company write the specific description related
to context of job. They also define their goals and objectives to their applicants, it helps the
employees can do their work according to this manner. In this description, the company should
define the overall objective and goals of jobs, it place their jobs into organisational context.
Social media recruitment: Aldi established different techniques for interviewing
procedure such as they provide the facilities of telephonic interview, video interviewing. This
cited company also launch the application tracking system which would most beneficial for
company to recruit and hire knowledgable applicants, those skills are matches with company
work.
Mobile recruiting: This cited company also provide the facility to search their large
number of candidate with the help of this procedure. This helps to company to search large
number of candidates more easily.
Job board and carrier page: Job board defines that this company open up their own
websites and introduce many innovative technologies (Gruman and Saks, 2011). IN career pages,
IT is optimised in mobile.
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This cited company also prepared the interviewing process, In this process, the HR department
give all information such as what are the services are provided by company, which type of
product they have launched, Their future goals and objectives, these all data are helpful for
applicants for preparation of interview.
CONCLUSION
By this report, it can be concluded that every company has human resource department
which helps organisation to accomplish their goals and objectives. In this report, there are
various information that are mentioned related to human resource department of this cited
organisation. Human resource management helps to accomplish the need and wants of business.
Different type of human resource management practice and their effectiveness within an
organisation for both employer and employee are also mentioned in this report. There are
various strength and weaknesses of different approaches to recruitment and selection
procedure ,these all are helpful for company growth and profitability. All the functions of human
resource management which helps for profitability of organisation. The company have full
knowledge with all factors that are affecting the human resource management system. This HRM
functions play great role towards human development in order to achieve objectives and goals
such as their competitive growth, trust, honesty, and high quality abilities and knowledge.
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REFERENCES
Books and Journals
Alfes, K., and et. al., 2013. The link between perceived human resource management practices,
engagement and employee behaviour: a moderated mediation model. The international
journal of human resource management. 24(2). pp.330-351.
Barney, J. B., Ketchen Jr, D. J. and Wright, M., 2011. The future of resource-based theory:
revitalization or decline?. Journal of management. 37(5). pp. 1299-1315.
Batt, R. and Colvin, A. J., 2011. An employment systems approach to turnover: Human
resources practices, quits, dismissals, and performance. Academy of management
Journal. 54(4). pp. 695-717.
Batt, R. and Colvin, A. J., 2011. An employment systems approach to turnover: Human
resources practices, quits, dismissals, and performance. Academy of management
Journal.54(4). pp. 695-717.
Boxall, P. and Purcell, J., 2011. Strategy and human resource management. Palgrave Macmillan.
Bratton, J. and Gold, J., 2012. Human resource management: theory and practice. Palgrave
Macmillan.
Bratton, J. and Gold, J., 2012.Human resource management: theory and practice. Palgrave
Macmillan.
Bratton, J. and Gold, J., 2012.Human resource management: theory and practice. Palgrave
Macmillan.
Chelladurai, P. and Kerwin, S., 2017.Human resource management in sport and recreation.
Human Kinetics.
Chelladurai, P. and Kerwin, S., 2017.Human resource management in sport and recreation.
Human Kinetics.
Choi, M., 2011. Employees' attitudes toward organizational change: A literature review. Human
Resource Management. 50(4). pp.479-500.
Daley, D.M., 2012. Strategic human resource management.Public Personnel Management. pp.
120-125.
Daley, D.M., 2012. Strategic human resource management.Public Personnel Management. pp.
120-125.
Fine, S., 2012. Estimating the economic impact of personnel selection tools on counterproductive
work behaviors. Economics and Business Letters. 1(4). pp. 1-9.
Fine, S., 2012. Estimating the economic impact of personnel selection tools on counterproductive
work behaviors. Economics and Business Letters. 1(4). pp. 1-9.
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Gruman, J. A. and Saks, A. M., 2011. Performance management and employee
engagement. Human Resource Management Review. 21(2). pp. 123-136.
Hendry, C., 2012. Human resource management. Routledge.
Jiang, K., and et. al., 2012. How does human resource management influence organizational
outcomes? A meta-analytic investigation of mediating mechanisms. Academy of
management Journal. 55(6). pp.1264-1294.
Lengnick-Hall, C. A., Beck, T. E. and Lengnick-Hall, M. L., 2011. Developing a capacity for
organizational resilience through strategic human resource management. Human
Resource Management Review. 21(3). pp.243-255.
Renwick, D. W., Redman, T. and Maguire, S., 2013. Green human resource management: A
review and research agenda. International Journal of Management Reviews. 15(1).
pp.1-14.
Online
Human Resource Management (HRM) - Definition and Concept, 2017. [Online]. Available
through: <http://www.managementstudyguide.com/human-resource-management.htm>.
[Accessed on 28th July 2017].
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