Human Resource Management Practices

This assignment delves into various facets of Human Resource Management (HRM). It analyzes academic sources discussing HRM's impact on organizational performance, employee well-being, and cultural influence. The review explores topics such as talent management, motivation strategies, performance evaluation, and the legal framework surrounding workplace safety. It emphasizes the crucial role HRM plays in fostering a productive and ethical work environment.

Human resource management
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Table of Contents
INTRODUCTION................................................................................................................................8
TASK 1.................................................................................................................................................8
1.1 Differentiate between personnel management and HRM..........................................................8
1.2 Functions of HRM in British Gas..............................................................................................9
1.3 Roles and responsibilities of line manager in BG to support HR management functions.........9
1.4 Legal and regulatory framework of HRM...............................................................................10
TASK 2...............................................................................................................................................11
2.1 Analysing the reasons for human resource planning...............................................................11
2.2 Outlining the stages involved in planning human resource requirements...............................11
2.3 Compare recruitment and selection process in British Gas and EDF Energy.........................12
2.4 Evaluation recruitment and selection techniques with the EDF Energy..................................12
TASK 3...............................................................................................................................................13
3.1 Assess the link between motivational theory and reward at Virgin Media..............................13
3.2 Evaluate the process of job evaluation and other factors that determine pay at Virgin Media13
3.3 Assess the effectiveness of reward system in Virgin Media....................................................14
3.4 Examine the methods to monitor employee performance at Virgin Media.............................14
TASK 4...............................................................................................................................................14
4.1 Reasons behind Faisal’s termination in Chicken Master.........................................................14
4.2 Employee exit procedure in Chicken Master and its competitor.............................................15
4.3 Legal framework on employees cessation arrangements........................................................15
CONCLUSION..................................................................................................................................16
References..........................................................................................................................................17
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INTRODUCTION
Looking at the present age of globalization, businesses are facing high level of competitive
pressure from the rival firms. Thus, it becomes essential for the organization to manage effectively
their employees and achieve desired goals. Human Resource Management (HRM) is regarded as the
process of managing business personnel by formulating various policies and procedures. It
comprises recruitment and selection, organizing training, performance evaluation, rewarding,
motivation and cessation of the workers.
Present assignment explores the study of HRM for the success of British Gas (BS). It is
UK's largest energy provider organization which supplies energy to wide range of customers. HRM
provide assistance to BG to have skilled workforce so that it can deliver best services to the
customers. In the present report, the role and significance of HRM and its various functions will be
identified for company's success. Moreover, necessary legislation and regulatory requirement, HR
planning and job evaluation will be discussed. Further, the importance of motivational theories to
motivate the workers of Virgin Media will be described. In the end, employee termination and exit
procedures will be explained in Chicken Master.
TASK 1
1.1 Differentiate between personnel management and HRM
Difference basis Personnel management in EDF Energy HRM in British Gas
Meaning EDF energy adopts personnel
management (PM) to manage their
manpower and its relation with the
organization through framing strict
employment policies. Its objective is to
decline labour cost of the company.
BG adopts HRM to assure
maximum utilization of the
workers to achieve set desired
goals and targets (Armstrong
and Taylor, 2014).
Approach It is a traditional approach of managing
human resources by EDF Energy.
It is a modern approach of
workforce management.
Manpower EDF Energy considers their workforce as
machines or tools.
BG considers manpower as
important assets which are also
called human capital (Park and
Shaw, 2013).
Basis of pay Job evaluation is the basis of workers
salary in EDF Energy (Chung and Liao,
2010).
Performance evaluation is the
basis of workers pay structure.
Leadership In EDF Energy. managers use
transactional leadership style to manager
employees.
BG's management make use of
transformational leadership
style to manage their
workforce.
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Communication Indirect communication exists in the EDF
Energy. In this, subordinates are not
allowed to directly communicate with the
top management authority (Hendry,
2012).
BG use direct communication
to manage their workers.
Work design EDF Energy use division of labour to
design work.
IN BG, work is performed in
teams and groups.
Decision-making
process
Its decision-making process is slow. Quick or immediate decisions
can be taken by BG (Scullion
and Collings, 2011).
1.2 Functions of HRM in British Gas
British Gas HR manager is liable to perform following functions to fulfil his or her job
responsibilities, enumerated below:
Recruitment and selection: One of the most important functions of BG's HR department is
recruit highly suitable candidate among all the applicants. For this purpose, HR manager has to
assess the ability and competency of the person by knowing their education qualifications,
professional experience and by conducting interviews and tests (Guest, 2011). Hiring talented
worker will be able to provide best services to the consumers, which in turn, help to achieve target
goals.
Training: BG's HR professional is also liable to conduct training sessions to enhance their
staff skills, knowledge and talent so that they can perform more effectively. Training and
development programme provide benefits to enhance workers efficiency and competencies
(Managing the Human resource in 21st Century, 2009). As a result, they will be able to deliver
highly effective services to the customers.
Employee motivation: It is obvious that motivated people work more effectively as compare
to other people. Thus, an essential charge that BG's HR professional carry out is to motivate their
employees (Armstrong and Taylor, 2014). This promotes workers efficiency to a maximum level
and as a result, their productivity and performance can be extremely improved.
Performance evaluation: HR department of BG also evaluate and examine that how workers
are performing their duties and responsibility. They use various techniques and tools to analyse their
personnel productivity and take decisions to mitigate adverse performance (Ordiz and et,al., 2003).
It assists HR to take better decisions to enhance employees performance, which in turn, helps to
accomplish targets easily.
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1.3 Roles and responsibilities of line manager in BG to support HR management functions
Line managers are the persons to whom employees can report directly and line manager will
report all these information to the upper level management. With reference to British Gas, line
manager plays an crucial role in the process of human resource management, especially in the
recruitment process. In case, when line manager needs more employees than existing labourers than
he will initially inform to the HR department to hire more workers. Further, he also plays an vital
role in the hiring process as he takes interview of the applicants to find out the most capable worker
(Chung and Liao, 2010). Along with this, after hiring candidate, he is responsible to conduct
training session or manage training and development programme to enhance workers skills and
capabilities. Through getting appropriate knowledge of the work, employees can perform much
better and which will make an effective contribution towards attainment of targets.
Besides this, line manger owes duty to regularly monitor workers performance and inform to
the BG’s HR departments, if any employee needs special training or incentives as well. By this,
firm will be able to enhance their personnel efficiency to a great extent (Armstrong and Taylor,
2014). While, on the other hand, employee will be benefited by reaching to the desired destination
in the British Gas. Line manager maintains regular communication with the HR manager and
workers. He perform daily functions like monitoring of the progress, quality assurance, measuring
operational performance, dealing with the customers, allocating work and duties and manage
operational cost as well.
1.4 Legal and regulatory framework of HRM
There are several laws and regulations which British Gas needs to follow while managing
their workforce. The major aim of the legislations is to assure staff welfare in all the organizations.
For instance, Equality Act, Sex Discrimination Act, 1997, Race Relation Act, 1992, Equal Pay Act
1970, Disability Discrimination Act, 2005 etc. are some of the laws which BG follows to effectively
manage their workers. As per the Equality Act, it provides equal opportunities to all the workers in
recruitment and selection, training, performance evaluation, rewarding etc (Carmeli and
Schaubroeck, 2005). The other discrimination legislatory framework’s objective is to stop
discrimination practices from the workplace on the basis of disability, age, sex, racial, nationality,
religious, colour etc. Equal Pay Act entails that BG must provide equal salary to all the workers
regardless any biasness.
Along with this, BG is als abided by the workers Safety and Security legislation in which it
is liable to provide hazard-free working environment to the employees to assure their health safety
(Health and safety legislations, 2014). Further, as per European Working Time Directive, it cannot
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take employees services above the restricted limits mentioned in the act. Besides this, national
minimum wages impose liability on BG to provide minimum salary to the workforce. While, as per
Data Protection Act, 1998, workers are liable to protect BG’s confidential information and not to
share with others (Bulgurcu, Cavusoglu and Benbasat, 2010). Work and Family Act provide
assistance to the employees to maintain balance between their professional and private life.
TASK 2
2.1 Analysing the reasons for human resource planning
Human resource planning is the process of estimating future manpower need of the company
to carry out daily business functions and activities. British Gas aims at maintaining competitive
position in the energy sector. Thus, HR planning plays an inevitable role as it helps to recruit
qualitative labour force that has great skills and expertise knowledge of the work. Through this, BG
will be able to deliver best value products and services to their customers (Beardwell and Claydon,
2007). By identifying the potential need of human resource, it can hire skilled and talented people
among all the applicants.
Moreover, after selection, it also provides high level of training to the personnel to provide
expertise knowledge about the new technologies and tools. Further, it is a energy supplier company
hence, needs talented and experienced engineers. Its HR planning process helps to recruit those
engineers who are extremely experienced and need less training (Scullion and Collings, 2011).
Thus, through this, cost effective services can be acquired. Henceforth, it becomes clear that BG’s
HR planning process enable business unit to maintain quality standard and generate larger yield.
2.2 Outlining the stages involved in planning human resource requirements
British gas HR planning process comprises several stages to gain competitive advantages over
the competitors. The aim of the process is to determine potential human capital need and fulfil it by
recruiting required number of people from internal as well as external sources. The stages of the HR
planning process in British Gas are enumerated below:
Forecasting the demand: At the first stage, BG’s HR department predict potential staffing
need. It is determined by managerial estimates, projection, vacancy evaluation and simulation etc
(Boxall and Purcell, 2011). In this stage, it identify that how many more workers will be needed in
different departments to carry out daily business functions smoothly.
Forecasting the supply: After estimating the demand, BG’s HR professional predict labour
supply. Internal supply is estimated by worker flows and current availabilities in various
departments. While, external supply is forecasted through analysis of labour market and Markov
analysis.
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Determine shortage or surplus: In this stage, British Gas identifies the difference between
demand and supply to assess that whether there will be a shortage or surplus (Hendry, 2012).
Through this, HR division take decisions to mitigate the shortage of labours by hiring required
number of personnel.
2.3 Compare recruitment and selection process in British Gas and EDF Energy
British Gas: It advertises the vacant places in websites or newspapers and ask for online
application and leave application to HR office. After this, company’s recruitment team match
applicants skills and experience with the job criteria and if find suitable, than such candidates are
called for a telephonic interview or interview at central assessment centres. In the interview,
candidate’s technical knowledge, role play, presentation skills, confidence and work based
knowledge are examined (Budhwar and Debrah, 2013). In the session of interview, candidates have
to bring their ID proof, address proof, driving license etc. After this, successful candidates are
informed to join British Gas whereas unsuccessful candidates information is update in data base so
that they can called in future for other job vacancies.
EDF Energy: In the initial stage, candidates have to apply online to the company. Thereafter,
its recruitment team match applicant’s skills and suitable candidates are called for interview. It
mostly prefer face to face interview, in which EDF Energy’s interviewers asks applicants about their
future goals and some work based questions (Jackson and Mathis, 2010). After this, candidate who
found successful will be informed to join the organization while unsuccessful candidates need to
ask for feedback copies. EDF Energy takes only the web application of the unsuccessful applicants.
2.4 Evaluation recruitment and selection techniques with the EDF Energy
Both British Gas and EDF Energy are aims to recruit best technical expertise such as engineers,
technicians and other outstanding and dynamic workers. Both the organizations use high
technology to save time and cost. As explained earlier, that BG and EDF energy greatly prefer web
applications from the candidates rather than traditional way of recruiting. Both the firms’
recruitment teams sort people who look eligible for the existing job vacancy (Seibert, Wang and
Courtright, 2011). But still, while conducting interview, BG use telephone interview or central
assessment procedures which are comparatively more effective way of hiring than EDF Energy as it
conduct face to face interview. BG has skilled interviewers who check for applicants’ ability,
aptitude, previous experience in the energy sector and behavioural aspect. Thereafter, an individual
who identified the most talented person are informed to join the organization. From the above
evaluation, it is clear that although, the recruitment and selection procedures is similar in both the
BG and EDF Energy. But still, there are few differences which indicate that the hiring process is
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comparatively more effective in BG.
TASK 3
3.1 Assess the link between motivational theory and reward at Virgin Media
As per the scenario, Virgin Media was established by the merger of NTL and Virgin Mobile. It
provides numerous services like broadband, TV, mobile, phones and other home phone services to
the customers. Motivation plays a major role in Virgin Media to enhance their employees’ efficiency
and thereby satisfying customer expectations (Seibert, Wang and Courtright, 2011). Moreover, there
is a direct relationship between motivational theory and reward system as better reward promotes
high level of motivation among personnel or vice-versa.
According to Maslow’s hierarchy, Virgin Media can motivate their personnel by satisfying
their physiological, safety, belonging, esteem and self-actualization need. High salary, workplace
safety and security, promotion, achievement, reputation, personal growth etc. helps to encourage
workers to put their best efforts towards attainment of Virgin Media’s targets (Boxall and Purcell,
2011). While, as per Herzberg theory, firm can increase employees efficiency by increasing
satisfaction factors such as good salary, safe workplace, incentives, bonus, commissions etc. While
factors which lead to decline motivation needs to be controlled like strict implementation of policies
and practices, supervision etc. By motivating the personnel, Virgin Media can increase their
workers efficiency and reach to targets easily.
3.2 Evaluate the process of job evaluation and other factors that determine pay at Virgin Media
Job evaluation is the process of examining worth of the work to decide pay structure for
different kind of jobs at Virgin Media. The process begins with job analysis and ends when value of
the work is ascertained, enumerated here as under:
 At the initial stage, job description and specification are done by job evaluation committee
to examine required skills, experience, knowledge and talent to carry out job duties
(Budhwar and Debrah, 2013)..
 After this, manager gives rank to different kind of jobs in the order of highest to lowest.
 After assigning rank, Virgin Media decide high salary for such jobs which required more
skills and experience as compares to other.
On the contrary to this, Virgin Media does not take into consideration the complexity and
hazard of the work (Ordiz and et,al., 2003). However, it has a great effect on workers satisfaction
and productivity. Higher the level of complexity declines motivation aspect and which in turn, lead
to increase dissatisfaction among workers. Thus, it can be recommended to the Virgin Media to
consider complexity, employee capability and working hazardous while deciding workers salary.
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3.3 Assess the effectiveness of reward system in Virgin Media
Reward system is the process of providing different kind of benefits to the personnel. Virgin
Media offer numerous promotional opportunities to the employees to increase their satisfaction
level and encourage their efficiency. It provides both financial as well as non-financial rewards such
as better remuneration, incentives, bonuses, commissions, performance awards etc (Nicholson,
2003). Further, salary appraisal and designation promotion also assist Virgin Media to increase their
employees satisfaction level. Recognition in the company also encourages employees to put their
best efforts towards completion of their job responsibilities.
Through this, Virgin Media became able to retain its existing talented labour pool for a
longer duration. It reduce staff turnover, absenteeism and increase their productivity to a desired
extent (Adeel, 2012). Further, it enables Virgin Media to attract talented and qualitative workforce
who have great knowledge of advanced technologies.
3.4 Examine the methods to monitor employee performance at Virgin Media
Employee performance evaluation is the process of monitoring workers performance by the
managers and thereby takes effective decisions to bring necessary improvements. Virgin media use
following techniques, described below:
 360 degree feedback: In this, Virgin Media’s HR manger collects feedbacks from all the
workers, superiors, customers, managers etc. to examine the employees’ interpersonal skills,
time management skills, customer service skills etc (Leonard and Cardy, 2011). By this, HR
can take better decisions to enhance workers performance.
 Observation: Manager observes actual workplace and assesses that whether workers are
performing extremely well or not. It is a direct way to examine or evaluate their staff
performance (Jackson and Mathis, 2010). In this, Virgin Media’s HR manager monitors work in
progress on a consistent basis and takes immediate actions to enhance their proficiency.
 Rating scale: Virgin Media analyse their personnel productivity by collecting ranks on the basis
of different elements like output, attendance, initiatives, dependability etc. On this scale, ranks
are provided in the range from excellent to poor according to the performance.
TASK 4
4.1 Reasons behind Faisal’s termination in Chicken Master
According to the scenario, Chicken Master is a quick serve chicken and chips restaurant in
Gants Hill, llford. Its owner Bob Jones terminated its employee, Faisal due to the following reasons:
 Faisal went for strike-out while such activity is completely against the Chicken Master’s rules
and regulations.
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 Faisal did not fulfilled his job responsibilities as in the cited case, it is clearly exhibited that
front of store was not properly cleaned and without of adequate inventory.
 In the employee handbook, it was clearly mentioned that employees are prohibited to use
business equipments for personal use. While, as per the scenario, Faisal was discovered to e-
mailing his wife, helping his daughter in her homework and designing his personal restaurant.
 Further, other acts like time off for personal business during working hours without informing
anyone and looking pornography are also the restricted actions carried out by Faisal.
 Coaching and mentoring of Bob Jones also did not bring any improvements in the Faisal
performance. As a result, he was unable to carry out his job responsibilities effectively and
efficiently.
4.2 Employee exit procedure in Chicken Master and its competitor
Exit procedure is regarded as the process of terminating or resigning the job by the worker.
With reference to Chicken Master, at the initial stage, it gives warning to the employees to perform
their job responsibilities effectively still, if personnel do not take warning seriously than thereafter,
1 month prior notice give to the workers. In this notice, the reasons for employee exit or termination
is clearly mentioned (Beardwell and Claydon, 2007). On the contrary to this, in Blackfriars
restaurant, the time to serve prior notice is 2 months. In the notice period, both the restaurants
workers are liable to perform their job responsibilities similarly as other staff members.
After it, interviews are conducted by both the restaurants to know that why employees are
leaving their job. Thus, at this stage, Chicken Master and Blackfriars restaurant collect feedbacks
from the employees, in which they answered about their satisfaction level, working environment
and other factors which create negative impact on the personnel. Moreover, they also provide
suggestions to bring improvements in the restaurants operations (Martin, 2008). This enable
restaurants to implement necessary changes to provide much better working environment to the
workers, which in turn, helps to increase their satisfaction level and decline staff turnover as well.
After completing the notice period, workers can leave the job.
4.3 Legal framework on employees cessation arrangements
There are several legislations which Chicken Master needs to follow strictly before terminating
any employment contract. Equality Act demonstrates that restaurant must provide equal opportunity
to all the workers without any biasness. Moreover, as per the discrimination act, Chicken Master is
liable to stop discriminative practices on the basis of gender, age, race, and nationality, religious,
colour etc. As per this legislation, restaurant cannot terminate any employee on the basis of any kind
of discrimination (Human Resource Management, 2015). In the given case, Faisal filled a law suit
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against for sex discrimination as he hired a new female employee after his termination. In the
litigation, if such claim proves true than Bob will be liable to give job back to Faisal. Along with
this, he also will be liable to give compensation to Faisal for his job loss. Thus, it becomes clear that
employee of all the establishments have right to file a lawsuit against their employee for any
discrimination practices conducted towards them. Law provides assistance to the person to take
compensation from the employer for any unethical or illegal act (Managing the Human resource in
21st Century, 2009).
CONCLUSION
Present project report concluded that British Gas’s HR professional perform various
functions like recruiting, training, performance evaluation, rewarding and motivating their
workforce. It enables BG to enhance employee’s satisfaction, which in turn, assure qualitative
products and services to meet customer beyond expectations. Moreover, it has been inferred that
BG’s HR manager also monitor performance through 360 degree feedback, observation and rating
scale as well. Through this, HR manager take better decisions to reach workers efficiency to the
greatest height. Further, report concluded that various law and regulations, like Equality Act,
Discrimination Act, Wages Act and Equal Pay Act etc. are strictly followed by all the organization
to ensure staff welfare. All the acts and HR policies and procedures help British Gas to accomplish
their set target goals and objectives and enhance competitive advantages, which in turn, ensure long
run sustainability.
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REFERENCES
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Boxall, P. and Purcell, J., 2011. Strategy and human resource management. Palgrave Macmillan.
Budhwar, P. S. and Debrah, Y. A., 2013. Human resource management in developing countries.
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empirical study of rationality-based beliefs and information security awareness. MIS
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Carmeli, A. and Schaubroeck, J., 2005. How leveraging human resource capital with its competitive
distinctiveness enhances the performance of commercial and public organizations. Human
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Chung, C. H. and Liao, H. U. I., 2010. Strategic human resource management in service context:
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Guest, D. E., 2011. Human resource management and performance: still searching for some
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Scullion, H. and Collings, D., 2011. Global talent management. Routledge.
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Seibert, S.E., Wang, G. and Courtright, S.H., 2011. Antecedents and consequences of psychological
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