Human Resources: Recruitment and HRM Practices

This document provides an overview of the purpose and functions of HRM, benefits of different HRM practices, approaches to recruitment and selection, and evaluation of the effectiveness of HRM practices in terms of raising profit and productivity. It also discusses the various methods used in HRM practices and their impact on the organization. The document is based on Marks & Spencer, a leading multinational British retailer.

Human Resources
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Table of Contents
INTRODUCTION......................................................................................................................3
Section A....................................................................................................................................3
Employee Induction Manual......................................................................................................3
Purpose and functions of HRM, benefits of different HRM practices within an
organisation for both employer and employee......................................................................3
Approaches to recruitment and selection with their strengths and weaknesses....................5
Functions of HRM and an evaluation of the effectiveness of different HRM practices in
terms of raising profit and productivity of the organisation..................................................6
Different methods used in HRM practices............................................................................7
Section B....................................................................................................................................9
1. Evaluation of the various processes for conducting HR practices relating to recruitment
and the rationale behind them................................................................................................9
2. Importance of employee relations and their influence on HRM decision-making............9
3. Key elements of employment legislation and their impact on HRM decision-making...11
4. Key aspects of employee relations and the application of HRM practices influence the
process of decision-making.................................................................................................11
CONCLUSION........................................................................................................................12
REFERENCES.........................................................................................................................14
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INTRODUCTION
Human resources can be defined as a function within an organisation that is
concerned with people and activities related to them like payroll, compensation benefits and
rewards, recruitment, training and development (Alfes, Antunes and Shantz, 2017). The
human resource department of an organisation is also responsible for formulating various
policies for the organisation and its employees to ensure discipline and a healthy working
environment. The main purpose of the function is to maximise the overall productivity as
well a performance of the workforce in order to achieve the goals and objectives of the
company. The report is based on Marks & Spencer which is one of the leading multinational
British retailer of clothes, furniture and household products and was founded in the year 1884
by Michael Marks and Thomas Spencer. The report comprises of an employee induction
manual for new trainees who are interested in making their careers in HR and an evaluation
summary of employment legislation and employee relations that are related to various HR
practices.
Section A
Employee Induction Manual
Purpose and functions of HRM, benefits of different HRM practices within an organisation
for both employer and employee
The main purpose of an induction manual is to provide necessary information and
training all the employees who are newly appointed to ensure that they are in sync with and
understand the practices and culture of the organisation. Human Resource Management is an
approach to manage people within an organisation effectively so that they work towards
helping it in gaining a competitive advantage. The primary purpose of the approach is to
increase the overall productivity of the company by advancing the employees' effectiveness.
Human Resource department is an essential part of an organisation and its main purpose is to
address the issues of the employees like compensation, benefits, appraisal etc. to ensure that
they deliver output to their maximum capacity. Several functions of HRM are:
 Planning – A human resource manager should always plan things beforehand in order
to complete the tasks well within the time limit and ensure that there is no delay in the
same. In respect to human resources department of Marks & Spencer, the HR
manager carefully analyses the gaps between present as well as future workforce
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needs and thus fills in the gap by recruiting qualified and skilled candidates who are a
fit for a particular vacancy of job.
 Organising – Once the goals and objectives are planned and set, the manager should
organise various tasks that will go in to achieve the same (Aviso and et. al., 2018).
This function can include dividing and grouping bigger tasks into small and
measurable activities which not only help in coordinating the activities effectively but
also track the overall performance of the team members as well as the organisation on
a whole.
 Payroll and Benefits – The human resources department of the respective
organisation also maintains a record of the payroll and benefits that are provided to
the employees (Key Functions of an HR Department, 2020). It takes care of the
compensation of the employees already working in the company as well as ones who
have newly joined. Benefits can range from health and care to providing bonuses and
rewards based on the employees' performance.
The several benefits of the different practices of HR for both employees as well as the
employer with respect to Marks & Spencer are explained as follows -
 Training and Development – All employees whether skilled and experienced or
newly hired, require training from time to time to build new skills and enhance the
ones that already exist with them. Training and development of employees at Marks
and Spencer ensures an increased job satisfaction and motivation among them. They
also develop an improve capacity of adopting changes like new technology etc. On
the other hand, the employers become more confident and have increased morale.
 Recruitment and Selection – The human resources department of Marks & Spencer
has the responsibility of recruiting, selecting and hiring the right candidates for the
right position of job. This is beneficial for both employer as well as the candidate as
he/she will get a job in his area of interest as well as specialisation and the employer
will be able to utilise the skills and experience of the newly joined personnel
effectively as well as efficiently.
 Building Relationships – Human resources helps in building new relationships
among the employer as well as the employees and ensuring that conflicts are avoided
at all times. Healthy relationships among the employees help in creating a positive
work environment with less staff turnover as the employees are dedicated, engaged
and committed to their work. Employees who are engaged in their jobs and have good
relationships with others are less likely to look out for other jobs. Whereas employers
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get the benefit of building teams that are more focussed and have a healthy
atmosphere.
Approaches to recruitment and selection with their strengths and weaknesses
Recruitment can be defined as the process of seeking new potential candidates who
are a fit for an open position of job in the company and encouraging them to apply for the
same (Bagheri, 2016). The various approaches to recruitment and selection at Marks and
Spencer are described below -
Internal recruitment – It can be defined as the process of filling up a vacancy from
existing employees within a company. Internal recruitment can be done by opting various
methods like posting the job internally, manager nominating the employees etc. which have
their own benefits as well as drawbacks. Most big organisations, including Marks and
Spencer use this approach of recruitment. The job positions are not opened to the public and
attract various candidates, but the HR department within the company chooses to advertise
the same internally.
Strength
 Faster and Cheaper : This particular approach of recruitment is cheaper and faster as
compared to other approaches since many steps involved in the process get
eliminated. Also, the time period of previous team for handing off the employee to the
new one is also shorter.
Weakness
 Limited choices : Although the process consumes less time and the employees are
motivated enough, the organisation limits the number of potential candidates who
apply for the job and might miss out on exceptional talent.
External recruitment – It can be defined as the process of evaluating a group of job
candidates besides internal employees in order to examine the presence of any qualified,
skilled and talented people who can fill up the requirement of a particular job vacancy and
perform its responsibilities. The various strengths and weaknesses of this approach in context
to M&S are described below -
Strength
 Wide range of experience : More people applying for the job means different people
having experience in different specialisations which can indirectly help the respective
organisation in gaining a competitive edge over its competitors.
Weakness
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 Longer process : Since a large number of candidates apply for a single position of job,
it can consume a lot of time as well as cost to screen and interview each and every
applicant which can be tiring for the employer.
Selection Approach
On the other hand, selection can be described as the process of choosing candidate
who is considered to be right for a particular open job position in the company. The
respective company uses various approaches of like conducting interviews whose strengths
are that it helps in analysing the versatility and creativity of the candidates. Whereas
weakness is that it consumes a lot of time as well as cost as each candidate is individually
interviewed.
Functions of HRM and an evaluation of the effectiveness of different HRM practices in terms
of raising profit and productivity of the organisation
The various functions of HRM like planning, organising, directing, recruiting etc.
contribute significantly towards providing talent and skills in order to achieve the goals and
objectives of the company. Planning and organising help in coordinating the various activities
that are undertaken by the respective organisation. This in turn leads to a smooth flow and
control of all the tasks, thereby making it easier for the management to measure and track the
overall performance. All functions of the human resource management help in aligning a
company's mission and values with its overall objectives. Adequate staff is also maintained at
all times as the recruitment and selection function ensures that right and qualified candidates
are hired whose skills match the job position (How Does HR Fulfill Organizational Goals
and Objectives?, 2020). Apart from this, the training and development function of HRM
helps in developing skills and knowledge of employees that ultimately provide appropriate
talent to organisation which ensures fulfilment of its pre-determined goals and objectives.
The HRM functions also contribute towards maximising the performance of the employees
by using various motivational techniques like benefits and rewards, increased pay etc. The
effectiveness of various practices of HRM in terms of increasing the overall company's profit
and productivity is explained below -
 Training and Development – Training and development is an essential aspect and is
required by both newly hired candidates as well as employees who are already
working the the company. The process helps in improving the overall performance as
well as productivity of the employees which is why Marks & Spencer conducts
various training and development sessions for its employees frequently to ensure that
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they are highly skilled and are able to sustain in a competitive environment. Training
allows all the employees to sharpen and improve their skills, generate good output and
tackle challenges that might come up in the future. If the productivity of the
employees will be high, the performance of the company will also go up.
 Recruitment and Selection – Recruitment and selection is a practice within the
human resources department which is particularly designed to increase the overall
strength of the employees so that goals and objectives are achieved in a more refined
way. It comprises of various activities like screening, short-listing, sourcing and
selecting the candidates that fit in the vacant job positions most appropriately
(Kamoche, 2019). If right candidates are hired, they automatically contribute towards
increasing the profitability of the company. Also, a well developed and formulated
process of recruitment attracts qualified and skilled candidates which reduces the time
that would've been otherwise been consumed in searching, interviewing, screening
and selecting the candidates.
 Building Relationships – Building and maintaining healthy relationships not only
help in making the employees more committed and engaged to their work but, also
help them in advancing their careers (Le Coz and et. al., 2016). Marks & Spencer is
an organisation that has strong employer-employee relations and thus improved
teamwork on a whole as they know each other well and are also comfortable in
working with each other. This has led the respective company to retain its employees
for a long duration of time with a constantly increasing productivity and overall
profitability.
Different methods used in HRM practices
Marks ad Spencer uses several methods in HRM practices which are explained below-
 Open book management – Marks & Spencer carefully evaluates the overall
performance of its employees before hiring and selecting them. Also, the newly hired
employees are provided training of various the various practices. The respective
company shares information about its various initiatives, contracts, policies as well as
data with its employees as a result of which, they are enthusiastic about achieving the
goals and objectives. For example - After implementing this method, Marks &
Spencer has been able to align its various strategic decisions to the objectives. Tools
like manager online and employee self-service are used for the same.
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 Performance linked bonuses – Employees of the company who are recruited and
selected are provided bonuses based on their individual performances. The respective
company has been using this method wherein it provides bonuses and rewards to the
employees who show excellent performance in a year. For example – M&S does not
treat this as a permanent component but a variable component of their salary. The
criteria set by the management of the company is either an individual performance or
a team's success.
 360 degree performance management feedback system – The respective company
has a system of 360 performance management where seniors and peers like managers
and team leaders can provide feedback about an employee's or a team member's
performance. Thus, having good relations with each other helps in receiving and
addressing feedback positively. For example - every team leader in M&S is
responsible for providing relevant and positive feedback to help the other person in
improving his/her performance (Lucas and Verry, 2016). The system is constantly
updated to remain in sync with the latest technological trends of the market.
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Section B
1. Evaluation of the various processes for conducting HR practices relating to recruitment and
the rationale behind them
The respective company uses various processes for carrying out the process of
recruitment and thus hiring the qualified and relevant candidates for a vacant position of job
(Lukovac and et. al., 2017). The process for conducting HR practices along with their
importance are as follows:
Recruitment Planning- In this stage, planning is done for vacant positions which are
described and analysed. This includes identifying vacancy, analysing job, describing job,
specification of job and evaluating it.
Strategy Development- It is the second stage where strategy are made for
recruitment process to hire skilled and capable employees. This is long step as HR to
considers different points and formulate strategy.
Searching- In this stage, right candidate is search by recruiter on basis of their skills
and experience. This can be done through internal and external sources to get right
candidates.
Screening- This stage starts after completion of searching candidates. It is the way to
filter applications of candidates for further selection process. It includes reviewing resumes,
cover letters, conducting interview, identifying top candidates (Masri and Jaaron, 2017).
Evaluation & Control- This is defined as last stage of recruitment process. It validate
and effectiveness of method are assessed. The stage includes salaries to recruiters, cost of
advertisement and many more.
This method is important to attract effective workforce for organisation. Main aim is
attaining large number of skilled and qualified employees so that goal and objectives can be
attained and achieve in appropriate manner.
2. Importance of employee relations and their influence on HRM decision-making
Employee relations is defined as interrelationships in formal as well as informal
manner among employers and employees in order to attain business goals and objectives in
an effective manner. This mainly focus on affecting employees in terms of work life balance,
benefits, pays and safe working conditions. Strong employee relations can be a great
contributor to the overall success and goodwill of an organisation. It has been observed that
work places with healthy and positive employee relations have a more productive, loyal and
efficient staff with no conflicts (Morley, Heraty and Michailova, 2016). All of the aspects
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behind good employee relations influence the decision making process of an organisation
significantly. Some concepts within a company that can influence the decision making
process are explained below -
 Flexible organisation – It is defined as that organisation which can respond quickly
and adapt changes taken place at external environment for gaining competitive
advantages and sustaining their position at marketplace. Marks and Spencer is a
flexible organisation as it adopts as well as responds to the changes in its environment
quickly as compared to its competitors and gain an edge over them. Being a flexible
organisation, the company has healthy relations among its employees which
contribute to the process of decision making effectively as it has a policy wherein
employees are involved and asked for suggestions when a particular decision is to be
made.
 Flexible working practices – It is also known as flex-time or flexitime which is used
to define working arrangement than traditional one i.e. nine to five. In this concept,
employees are provided with flexible working hours and work accordingly for
attainment of goal and objectives. The respective company has implemented various
flexible working practices like offering options of work from home, part time
working, customised working hours etc. to its employees which have proved to be
effective decisions for it. Since, the employees at M&S have an option of choosing
their working hours, they are more likely to spread the same through word-of-mouth
which can in turn lead to attracting more potential candidates. The importance of
employee relation in flexible working practices is to assist working force to work as
per their own choice and achieve business outcomes.
 Employer of choice – It is defined as the concept in which employer provide choice
to employee to work accordingly and perform work activities and operations. This
assist in attracting large number of employees towards business and perform work.
Marks & Spencer is considered to be an employer offering an excellent work culture
and an environment that attracts a lot of potential candidates and also retains the ones
who already exist. The company is counted among the most committed employers
across the globe that works primarily for improving the overall skill set of its
employees (Nguyen, 2016). This has made the HR department of organisation to
make more employee as well as customer centric decisions. This concept helps in
maintaining employee relation as they are provided choice to work as per their own
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way and attain business goal and objectives. This assist in maintaining long term
benefits to employees as well as organisation.
3. Key elements of employment legislation and their impact on HRM decision-making
Every employer wants to protect its employees and its business operations as well as
ensure that a suitable work environment persists in the organisation (Parakandi and Behery,
2016). There are various elements of employment legislation that should be followed by all
organisations which otherwise can impact their HRM decision making process. Some of the
elements are listed and explained below -
 Equal Employment Opportunity Act, 1972 – This particular act is related to
providing equal opportunities to all employees or every citizen of the country without
any bias. It does not discriminate people based on their caste, colour, religion, gender
etc. Marks and Spencer has adopted this legislation for their working force so that
each and every employees get an equal opportunity. This impact HRM decision
making as with help of such act they can hire and select employees in equal manner
without doing any biasses and leads to motivate and encourage them in appropriate
way.
 Working conditions Act, 1974– The company also strictly follows the practice of
maintaining healthy relationships among its employees by providing them with
various platforms of interacting with each other and getting to know them in a better
way. Having a safe working environment assists in making suitable decisions.
Although, it is the duty and responsibility of the employees to maintain the decorum
and discipline within the premises. This legislation impact decision making of HRM
as it assist them to provide proper working environment and conditions to employees
so that they can perform business activities and operations in proper manner for
positive outcomes.
4. Key aspects of employee relations and the application of HRM practices influence the
process of decision-making
Healthy employee relations is one of the most essential component for an organisation
for it to be successful. The key aspects of employee relation are: leadership, culture, vision &
values, CSR, accountability & performance, rewards as well as recognition, communication
and professional & personal growth. The application of HRM practices and their influence on
the process of decision making is explained below -
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 Training and Development – Training and development sessions provide employees
with the opportunity to interact with each other, gain knowledge and thus build
connections and relationships with other employees (Runhaar and Sanders, 2016).
Marks & Spencer conducts regular training programs for its employees so when they
interact with other people, they get an idea of the practices of the organisation. The
positive thing about providing training to the employees is that the company can
reduce its employee turnover rates as well as staffing costs in the long-term. On the
other hand, if the company spends big amounts of money to train a new hire and
he/she leaves the company, it will impact the performance of the same negatively.
 Recruitment and Selection – The process of recruitment can attract a lot of
candidates who belong to different cultural backgrounds which means that when they
are hired, the company will be exposed a lot of new perspectives and inputs put
forward by the employees. This can lead to the formulation and development of
innovative and new decisions which are beneficial for it. Recruitment and selection
help the company to bring in fresh talent by hiring skilled and qualified candidates.
But the process involves a long time and increased costs as compared to when the
management hires someone from within the company. It can also drop the motivation
levels of existing employees as they might feel that their chances of getting promoted
are less.
 Rewards – The respective company also follows the practice of rewarding its
employees to ensure that they are fully engaged and committed towards their work
(Wehrmeyer, 2017). This give the employees a sense of being recognised and
appreciated which in turn leads them to give in their inputs and suggestions when
asked by the management during the process of decision making. The company
rewards its employees by offering them a cash bonus or an award recognising their
efforts and hard work. One of the positive things about providing benefits and rewards
to the employees is that they feel motivated and thus put in more efforts in order to
get tasks complete. But as a disadvantage, this can lead to increased expectations
among employees which can lead to an increased competition among them.
CONCLUSION
From the above report, it can be concluded that human resources is an essential
function within an organisation and ensures that the employees are motivated, committed as
well as engaged towards their job. This not only leads to a reduced staff turnover but also the
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employees find new and innovative ways of completing the tasks. The human resource
department in a company has several roles and responsibilities to its end like maintaining a
record of the payroll and compensation of the employees, encouraging a healthy workplace
environment, building relationships, providing training to the employees etc. Moreover, for
recruitment of skilled and qualified candidates, different process of selection and recruitment
should be applied by organisation. Thus, human resource function, if managed properly can
be of utmost significance for an organisation in enhancing its overall productivity.
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