Human Resource Strategy Analysis of Woolworths Limited

The assignment provides an in-depth analysis of the human resource strategy of Woolworths Limited, focusing on selection, recruitment, and retention of employees, development strategies, and performance management. It also identifies issues and challenges that need attention from the HR department and suggests possible measures to address them. The study is based on a review of relevant literature and references to specific company practices.

Running head: HUMAN RESOURCE STRATEGY OF WOOLWORTHS
Human resource strategy of Woolworths
Name of the University
Name of the student
Author note

Executive summary
Human resource strategy is important for any organization. The role and responsibility of human
resource management consist recruitment of the employees, securing the benefits of the
employees and the effective performance of the workforce. Thus the study intends to discuss the
importance of human resource strategy in organizations. The study sheds light on the human
resource strategy of one of the biggest retail company of Australia, Woolworths limited. It takes
a close look at the human resource practices by the company and critically analyze the human
resource practices of the company including selection, recruitment and retention of the
employees. Besides, it also highlights the development strategy for the workforce as well as their
performance. While evaluation, some issues and challenges were found, which need immediate
attention from the human resource management of the company. Possible suggestive measures
were also provided so that the issues can be addressed by taking adequate steps.

Table of Contents
Introduction......................................................................................................................................3
Background of the company............................................................................................................3
Defining human resource strategy...................................................................................................4
Human resource management of the Woolworths Limited.............................................................5
Selection and recruitment of employees......................................................................................6
Employee retention strategy........................................................................................................7
Present challenges of human resource management in the company..............................................8
Suggestive measures to the issues...................................................................................................8
Conclusion.......................................................................................................................................9
References......................................................................................................................................11

Introduction
The purpose of this study is to discuss the importance of human resource strategy in
organizations. The paper mainly discusses the human resource strategy of one of the biggest
retail company of Australia; Woolworths limited (Woolworths Supermarket 2016). The paper
sheds light on the human resource practices by the company and in order to give a detail
description the human resource management of the company, the paper critically analyzes the
human resource practices of the company including selection, recruitment and retention of the
employees (Kehoe and Wright 2013). Along with that, it also describes the development strategy
for the workforce as well as their performance. While analyzing the human resource strategy of
the company, some issues and challenges were found, which need immediate attention from the
human resource management of the company. Possible suggestive measures were given so that
the human resource management department of the organization can address the issues take
adequate steps to eliminate them. The recommendations given by the report help the company
not only in addressing the issue but also will help in further improvement of the human resource
strategy of the company.
Background of the company
Woolworth is one of the leading organizations in the sphere of retail market in the
industry. The company serves products that are of high quality but at a reasonable price.
Founded in the year of 1924 the company presently secured its position as the second largest
company in Australia (Bratton and Gold 2017). Headquartered in the Bella Vista of New South
Sales, Woolworth had expanded in New Zealand also. The company is also the retailer of liquor

in the company. The company opened its first retail store in the imperial Arcade of Sydney.
Woolworth limited is the first retail store in Australia, where customers could get products of
good quality at a very reasonable price. The company is presently marked as the largest chain of
supermarket in the country (De Waal 2013). The largest company in the sphere of retail industry,
Woolworths Limited was established by the Percy Christmas, Stanley Chatterton, George Creed,
Ernest Williams and Cecil Scott Waine
Defining human resource strategy
Human resource strategy plays a crucial role in any organization. Business analysts
consider human resource management strategy as an integral part of business strategy. The
responsibility of human resource management includes recruitment of the employees, securing
the benefits of the employees and the effective performance of the workforce (Kehoe and Wright
2013). Thus it can be said that human resource management demands most efficient personnel
who will fulfill all these purpose leading the company towards further growth of the company.
Human resource managers mainly assure the workforce of the company is productive as well as
thriving. The department organizes the employees so that they can be effective for the company
(Bamberger, Meshoulam and Biron 2014). Human resource management considers employees as
human assets rather than cost to the company.
In a company, the human resource management develops strategies and suggests the
management of the company regarding the strategy to manage the workforce of company in
strategic manner (Bratton and Gold 2017). Beside selecting and recruiting the right candidate in
the company, it also develops the strategy train the employees so that they can get the
opportunity improve their efficiency (Bamberger, Meshoulam and Biron 2014). Thus it can be

said that human resource manager is more than an employee rather they can be termed as the
consultants. The human resource managers keep a look on the overall employee structure and
address issues and challenges that the employee face during the course of working in the
company (Hendry 2012). While highlighting the issues related to the workforce, they also give
suggestive measures in order to eliminate the issues. The other managerial departments and the
human resource management work together in order to set the skills and eligibility while creating
post description of the recruiting employees.
Human resource management of the Woolworths Limited
More than over 90 years, Woolworths limited has been adopting different human
resource strategies in order to improve the effectiveness of the employees. The company does
not follow the long-term process of the human resource along with flexibility of changes in terms
of directions (Mortimer and Ingersoll 2015). Rather it believes in the outsourcing of human
resource management in the company (Mathis et al. 2016). The company follows a business
process, where an external agency or supplier fulfils the need of a human resource manager by
providing the service of the human resource management department (Mortimer and Ingersoll
2015). The service it outsources includes payroll administration and recruitment of the right
candidate.
The practitioners and the line mangers operate three major levels together as well as
separately. The three levels are Functional level, operational level and the strategic level (Bailey
et al. 2015). The practitioners along with the line mangers set plan in order to meet the current
need of workforce (Cascio 2018). The practitioners in the strategic level involve in the business
planning and the human resource practices. Whereas the line managers are responsible to carry

out the different activities in the level of function (Purce 2014). This assures that the company is
recruiting they right candidates at the right time, at the right remuneration. Woolworths limited
operates its functions of human resource in the level of functional and strategic. The reason
behind this is that the practitioners are liable to be involved in the in the business planning and in
the human resource planning (Nankervis et al.2013). At the same time, the line mangers in the
company line managers are responsible to carry out the different activities in the level of
function.
Selection and recruitment of employees
The human resource of the company operates mainly the four areas that hold significant
importance. The areas in which the company operates are the learning, corporate, development
and the business operation (Derous and De 2016). The report critically focuses on the human
resource strategy of the company in relation with its business operation.
In the corporate level, the human resource management of the company is responsible for
the benefits of the employees in terms money and other aspects. Other than, the remuneration
and benefits, the human resource management of the Woolworths limited maintains it relation
with other retail stores in terms of business (Derous and De Fruy 2016). Along with these
responsibilities, the human resource department in the company looks after the overall dev
elopement of the management. In the business level, the human resource management
communicates with the other management departments in view of increasing the efficiency and
the effectiveness of the work force. In this way, the human resource management maintains a
bond among the all departments of management (Hendry 2012). On the whole, the human
resource management in the company acts as an integral part. The major responsibility of the

human resource management of the company is to maintain the quality of the employees along
with the strategic plans regarding the employee retention in the company.
Employee retention strategy
In order to retain its position intact in the market, the human resource management has
taken different measures. Previously, the company followed traditional process of employee
management but it changes with time (Newton Becker and Bell 2014). Along with the
advancement in the sphere of retail industry, the company also adopted different human resource
strategies so that it can move for the further growth of its business. In terms of employee
retention, the company has taken such measures that made it most desirable place to work for the
employees. The company is one of the most renowned retail stores in the country. In order to
retain its employees to work with it, the company mainly emphasizes on the 6 major practices.
The practices are performed in view implementing them with the extensive use of technology.
The practices are mentioned below in order to give a clear understanding of the company’s
employee retention strategy (Shields et al. 2015).
 The human resource management of the company tries to recruit right candidate at the
first place.
 In order to manage the employees Woolworths gives continuous effort in the assessing
the line mangers and hence improves them further.
 As a part of it human resource strategy, the company tries to motivate its employees as
well empowers them so that they can make an effort for their own career growth, which
in turn has a significant positive impact towards the growth of the company.

 The human resource management of the company emphasizes the talent if its employees.
It recruits best talent in the industry and drives the mobility of talent among the all
employees. This increases the productivity by enhancing motivations of the employees.
 The company prefers continuous analysis of the human resource management, so that it
can improve the strategies while improving the strategy of retention within the company.
They analyze and improve in different areas for the purpose retaining efficient as well as
effective employees.
Present challenges of human resource management in the company
It is true that the company has really has taken some effective measures to increase the
effectiveness and the efficiency among the employees. However, there are some issues which
need immediate attention. The company has taken different coast cutting measures in order
introduce more effectiveness in the company. However, this measure has failed to ensure
transparent management (Bailey et al. 2015). As a result, many incidents occurred where
employees claimed to have been paid less than their actual salary. In some cases, some incidents
even provoked the employees in calling for a strike. These issues caused major outcry of
employee in the company (Mortimer and Ingersoll 2015). As a result, the reputation of the
company was grossly affected by these issues.
Suggestive measures to the issues
After analyzing the human resource management of the company, some suggestive
measures are given below as recommendation. These recommendations will help the company
not only in addressing the issue but also will help in further improvement.

 The strategies of employee engagement need to be enhanced so that the company can
make its employees feel valued at work.
 The company needs to modify the remuneration structure along with other benefits
keeping the employee retention in mind (Shields et al. 2015).
 As these kinds of protests and strikes by the employees grossly hampers the brand image
of the company, a policy should be introduced within the company through which the
employees will be able to communicate with the higher authority to resolve the issues by
discussion before going for a strike (Newton Becker and Bell 2014).
Conclusion
To conclude, it will be very apt to state that the human resource strategy plays an integral
role in any organization. Business analysts consider human resource management strategy as an
integral part of business strategy. The responsibility of human resource management includes
recruitment of the employees, securing the benefits of the employees and the effective
performance of the workforce. The purpose of this study is to discuss the importance of human
resource strategy in organizations. The paper mainly discusses the human resource strategy of
one of the biggest retail company of Australia, Woolworths limited. The study shed light on the
human resource practices by the company and in order to give a detail description the human
resource management of the company, the paper critically analyzed the human resource practices
of the company including selection, recruitment and retention of the employees. Along with that,
it also described the development strategy for the workforce as well as their performance. While
analyzing the human resource strategy of the company, some issues and challenges were found,
which need immediate attention from the human resource management of the company. Possible

suggestive measures were also given so that the human resource management department of the
organization can address the issues take adequate steps to eliminate them. The recommendations
given by the report help the company not only in addressing the issue but also will help in further
improvement of the human resource strategy of the company.

References
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Mortimer, D. and Ingersoll, L., 2015. The impact of deregulation on employment relations in the
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Woolworths Supermarket - Buy Groceries Online 2016, Woolworths Online. Viewed 28 April
2018, https://www.woolworths.com.au/.