Functions and Practices of HRM

Human Resource
Management

INTRODUCTION
HR has a predominant significance in the success of an organization. In an organization,
most of the work is done by the man power. Therefore, a separate department or management
team is crucial for controlling or managing workforce at workplace (Beer, 2015). This division
or HR professionals of the firm are responsible to handle all the queries, matters and problems
related to employees as an executive of the company.
This report covers a brief discussion on the HRM practices, practised by the
professionals of Merrill Lynch firm which is a well known business firm in central London. This
report involves all the aspects related to HRM such as objectives, purpose and functions of
HRM. Study describes recruitment and selection approaches apart from their limitations and
benefits, significance of HRM practices for employees and employers as well. It also includes
importance of employee relationship and aspects of employee legislations with significant
example.
TASK 1
P1 Agenda of HRM functions
It is the term that is used to define the process of enlisting, selecting, observing
employees and providing them orientation, appraising their performance, benefits and,
establishing decent relations with employees and their trade unions, motivating employees,
ensuring employees' health, safety and welfare measures in conformity of labour laws of the
nation (Human Resource Management, 2019). These are the major objectives of HRM that can
be divided into four categories:
Organizational objectives: The processes of hiring the correct amount of workers for a
granted task, providing training and holding high employee retention rates are included in
organizational objectives.
Personal objectives: This considers maintaining employees gratification as well as
providing the opportunity for career development.
Social objectives: These objectives include legal compliances such as equal pay for same
work and equal opportunities.
Functional objectives: Functional objectives are the provided guidelines which are used
to support the HR operations properly within the establishment.
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The human resource management team of Merrill Lynch firm, have to comply with all
the functions that help achieving all these objectives. These objectives are directly related to
workforce planning and resourcing that means examining, forecasting and designing manpower
demand and supply, assessing disparity and deciding target talent governance engagement to
make sure that an establishment has the valuable people.
HRM purpose
The main purpose of HR in the firm is to handle the various requirements of company
employees and employers as well. Human resources team also assists in accelerating the
effectiveness of an establishment in financial and legal matters. The major purpose of HRM in an
organization are described below:
Staffing Needs: Human resource division are primarily known for recruiting employees,
creating job or position announcements, defining job responsibilities and deciding the
requirements and skill level that are necessary for a post. This process includes personnel screen
individuals by finishing reference checks, interviewing potential applicants and administering
tests. Managers in the HR section continuously communicate with administration in other
divisions for the enlisting process (Filipiak and Hasiów-Jaroszewska, 2016).
Compensation and Benefits: Human resources department evaluates an organization’s
pay structure by examining compensation tendency with the goal of rendering employees with
acceptable pay. The department also measures policies and helps a company to comply with
different local, federal and state laws in respect to compensation. This practice is compulsory to
retain the valuable employees which assist in evaluating the need of workforce in future and plan
accordingly.
Law Compliance: Organizations are obligated for the equitable treatment and safety of
their workers. Human resources department keeps entities updated with laws and regulations by
staying conscious about various laws, developing processes to ensure attachment to the laws and
diffusing the proper information (Gillon and et.al, 2014). Compliance with the law is essential
for HRM as it affects the policies and planning of the managers in order to recruit the workforce
and resourcing the selected firm.
Functions of Human Resources Management:
Managerial Functions:
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