Managing Human Capital and Leadership

This study material discusses the importance of managing human capital and leadership in an organization. It explores relevant HRM models and analyzes the approaches of the company. It also discusses the organization's HR functions, such as recruitment & selection, motivation, and performance management. The material provides insights into the characteristics of effective leaders and the use of HRM software programs for effective management.

MANAGING HUMAN
CAPITAL AND
LEADERSHIP

ABSTRACT
Human resource management is an activity of managing and controlling workforce of the
company so that business activities and 9operationsof the firm operate in effective and efficient
manner. In Human resource function play an crucial role in term of leading directing and
motivating employees so that they can help in accomplishing the aims and objective of the firm.
This report is based on Vodafone and define about scientific management model and human
relation theory which used to analyse the approach of firm. Different HR functions like training
& development, recruitment & selection etc., and HRM software are defined for effective
management of the company.

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Relevant HRM models and analysis of the approaches of the company....................................1
Discussion of the organisation's HR functions............................................................................3
Evaluation of the number of HRM software programs...............................................................8
Characteristics of effective leaders taking into considerations to identify issues.......................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Human resource management is an activity of designing, organising, leading and
controlling the acquisition and development of functions of the company in context of achieving
pre monitored aims in an appropriate and adequate manner. In addition to it, with in a company,
HR division play an effective role as it concern with the effective use of available resource and
keeping relationship between employees and employers for obtaining profitability increment. HR
department of an organisation assist in managing the workforce and human capital with the help
of human resource practices like performance management, performance appraisal, training and
development and reward system (Akingbola, 2015). Whereas, in order to accomplish the same,
leadership plays a crucial role which is basically concern with offering motivation and direction
for achievement of business aims and objectives in an effective way. Leadership indicates to an
ability of encouraging and inspiring employees and providing them with guidances in context of
a specific task so that they can accomplish it in an appropriate way. This assignment is based on
Vodafone which is a British Multinational telecommunication company. This corporation was
established in 1991 and it is one of the world's leading telecom and technology service providers.
This report will discuss about implications of HR models for the development of administration,
importance of recruitment and approaches of HRD. Further, it will explain about characteristics
of effective leader that are taking into consideration all the issues identified in the tasks.
TASK 1
Relevant HRM models and analysis of the approaches of the company
In an organisation, the HR department of company use different models, approaches and
conceptions for the effective management and administration of the human resource. According
to Willyerd K. (2015), Organisation's culture is also a crucial element which plays an effective
role in proper management of the company so that workforce can perform their roles and
responsibilities in effective manner in term of accomplish particular goals and aim of the firm
(Arena and Uhl-Bien, 2016). In order to it, human resource is analysed as one of the important
assets because they are directly related to creating better working culture so that each individual
can make their contribution in order to achieve the expected aim in an adequate way. It is also
crucial for the company to assure that they design and apply adequate human resource plans and
policies which will essential for the workforce to make their participation in activities of firm
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and maintain competitiveness in that sector in which company is operating. There are several
models and approaches that can be use and implement by the company to manage the employees
and maximise the productivity. Some of these models and approaches affiliated to management
of the manpower, accepting motivational attributes, hiring skilled employees, training workforce
to improve their competencies at work (Baltaci and Balcı, 2017). In context of Vodafone, human
resource manger of the company mainly focusing on development of analytical abilities, driving
workplace plan of action and making effective employee relations for exploiting effective
position in the competing sector. In context of it, there are several models and approaches, some
of them are described as below:
Scientific management model- The main focus point of this model and concept is on
administrating each person for improving effectiveness by utilising efficacious or fair monetary
motivation system. Every individual has their own skills and abilities which they use for
accomplishing the aims and objectives of the business in set time frame. Therefore, HR
administrator takes an initiative to find out each personnel's ability & skill and put them into use
in an effective way. Cause of it, there will be less option of generating confusion between
workforce so they can do their work and allotted task in more appropriate way without facing
any issues. On the other hand. If the respective company fails to do in similar way then the
outcomes which will be provided to the firm are drastic that highly affect the functioning of firm
in unfavourable manner and instantly influence brand value of organisation. At the same time, by
making fairness in its reward system and provide monetary benefits according to that then the
company can retain its employees for long term (Baškarada and Watson, 2017). At the time of
salaried and providing compensation to workforce, company assure that the benefits which are
provided by them to the employees should be able to fulfil their survival needs and others
according to them to offer high level of employees satisfaction.
If the management of the respective company implement this model then the organisation
can manage its human resource by making fairness in its financial motivation system. When
employees are fairly rewarded for their effective performance then there are less or nil chance to
occur issues and conflicts which will help in effective management of the workforce.
Human relation Theory- It is another model and concept which is also crucial and
important for the effective management of the human resource. It mentions that monetary reward
is not only way to encourage employees regrading brand value. There are different other
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components that are effective like promotion, monitoring employees efforts and providing them
a chance to involve in business activities so that they can feel important and they can retain with
the company till long term. In addition to it, administrating efficiency in communication plays an
important role in organisation's working environment as it mentions that transparency and clarity
in communication assist HR administrator to minimise and close the gap between team members
and encourage them to work with effective collaboration and cooperation. Moreover,
communication often based upon organisational structure which explains their entire working
process (Cascio, 2015). Whereas, maintaining and administrating communication channel in
company help HR managers to make control on issues and conflicts between employees in
context of achieve maximised level of profitability and productivity in proper manner. Another
factor which a company consists in handling analytical approach and managing employees is
evaluation of the employee's performance that they are executed effectively in their allotted
work. If they are not perform well then the management of firm provide training and
development sessions to them so that they can make improvement and increment in their skills
and knowledge. It will help in retaining them within organisation for long time and assist in their
personal or professional growth. Moreover, empowering each individuals to be flexible for
making any type of modification and alteration in the business and business environment in
context of making development in the entire performance of Vodafone in an effective and
efficient manner.
With the utilisation and implementation of this model, the firm can manage its human
resource because it will not only consider finance in term of motivating employees. The
management of the company will make focus on other things like improving their skills by
training program and deliver then correct information about specific task and work. It will help
in development and growth of employees and minimise the chances of arising problems.
If the management of the respective company effectively implement these models and
approaches then firm can mange its employees in appropriate manner. Then they will help in
accomplishing the set business goals and objective of organisation most appropriate way. This
will help in building an effective position of company in the specific sector and industry in which
it operate its business (Kamoche and Newenham-Kahindi, 2015). By formulating crucial plans
and policies, providing training and development programs to employees, the firm can
administrate manpower and encourage them to work in structure way.
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Discussion of the organisation's HR functions
In an organisation, there are several functions of each department. Simply, a company
have different department which performance several activities for the growth and development
of the company and effective management of employees. Accordant to Harness J. (2019), HR
function of a company mainly work for improving profit margins and productiveness of the firm.
So there are various functions that are perform by HR department. These functions are
recruitment & selection, motivation, performance management etc. For acquiring aggressive and
competing position within marketplace, HR manager of Vodafone take an initiative to utilise
various strategies related to human resources in terms of improving the process of recruitment
and selection. In it, recruitment and selection is an most crucial function of HRM because it is an
activity of hiring skilled and qualified workforce which assist in performing business activities in
effective manner and help in accomplishing the business objective in adequate manner.
Moreover, recruitment and selection are differ in nature because it considers its own set of
process and activities to fill the vacant positions in firm in an effective manner. Recruitment
indicates to the process of getting attention of individual, assessing them and short-listing term as
per the vacant job role. Whereas selection is an activity of choosing and selecting people within
shortlisted candidates by analysing their skills and knowledge according to vacant post.
In Vodafone, it is an act by which the administrator makes and attempt to identify well
qualified people with an adoption of diverse techniques to develop the productiveness in proper
way. In the respective company, skilled workforce help in accomplishing the business goals of
firm in set time frame and maintain the brand value and position in competitive sector (Leroy
and Peiró, 2018) . The involvement of each plan of action and tactics plays a crucial role in
sustaining and surviving the business long term in specific industry. In which sector, Vodafone
operate is business, the level of competition is high there. So if the company have skilled and
capable manpower then they will help organisation in running the business of the respective firm
in adequate manner or gaining rival's benefits. Selection and hiring of employees create a huge
impact upon the company positive as well as negative. For instant, if the firm recruit wrong
applicants then it's result will be drastic and they can affect the working process and devise
mismanagement between each functions of the company. It will, also affect the economic
condition and productiveness of organisation in negative manner.
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Therefore, analysing the individual talent or skills help both employee and employer to
maintain effective working environment where workforce can do their work in appropriate
manner with facing any issues. There is a divergence in recruitment and selection functions
reflecting a company's plans, strategies and perspective to administrate employees. Skilled and
knowledgable individual show the core workforce of a company and candidates are hired as per
their skills and talent. (Morley, Heraty and Michailova, 2016). In various organisations, skill
structure have been developed and used to find out talent or abilities effectively for potential
workforce. Recruitment and selection is a complicated and complex act and process. In addition
to it, there are various methods of recruitment and selection which can be effective to hire a well
qualified employees as per the job profile. Some of these methods are interview, online selection
by utilising social media, employee referral, campus placement and others which help Vodafone
to reach wide range of population. Each of these methods considers its own process and role
which make them differ form each other. Apart form it, a number of methods or activity are
available to choose effective and right individual for a specific job role. It consists; application
form and CV, online screening and short-listing, aptitude test, interview, presentation,
personality profiling and group discussion etc. Whereas, it is the responsibility of superior of the
company to choose and select appropriate method which help in hiring and selecting skilled and
knowledgeable person. So that they helped in making development and growth in the business of
company in term of enhancing productivity and increasing profitability.
According to Miller E., (2018), motivation is an another HR function which is crucial, to
encourage employees. In Vodafone, it is also crucial to encourage employees so that they feel
motivated and do their work with more effectiveness. When workforce of the company is
motivated then they show more interest in performing their roles and responsibilities in accurate
manner (Pareek and Rao, 2015). There are different ways which can be used by the management
of the company to encourage and inspire workers like appreciating them, training and
development, incentives, bonus, compensation and reward etc. When employees are going to
perform regarding a specific task the the administration can appreciate them that they can have
effective skills and competences so they can do this work in appropriate manner. It help in
encourage manpower so that they can feel motivated.
Training and development is an another method and way which can be utilised by the
administration in context of inspiring worker. For example, when employees are going to
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perform in context of a new task and project then management of respective firm can conduct
training and learning sessions so that they can gain basis information about the work and make
improvement or increment in their skills and knowledge. If the company will not do it then
employees will not have information about that technologies which the firm will use in its new
task and project. If employees will work without having knowledge about them then it negatively
affect the firm. By providing chance of participation in decision making, to employees, the
company can also motive and inspire the employees.
Distance Training: Under this technique, it is a cloud based training program that
empower superior to identify their workforce potentiality and also motive them to provide better
training program with an intent of exploring their hidden talents or skills in an impressive style.
In relation to Vodafone's manager, by the application of distance training program company is
able to make their manpower to perform competitively and also to grab all sort of current or
emerging growth opportunities in order to gain competitive advantage among competitor in an
innovative way.
According to Pollock S. (2018), performance management is an effective function which
is important to analyse the execution of employees that how they perform in a task (Petrick,
2017). Effective performance management is more than just creating a work environment where
employees can work in adequate manner. With the help of this human resource activity, the
management of Vodafone can have information about its good performer and bad performer. So
that when the company is performing towards a difficult task then it can easily involve its skilled
employees and accomplish expected outcomes in set time frame. If the HR administration do not
perform this activity of performance management then the firm will not aware with performance
of its employees which can be negatively affect the company. To manage the performance of
them, receptive firm can provide them training and development program.
Dive to automation: This kind of advanced technology is regraded as one of the effective
system which help organisation to maintain its internal process in aspect of managing payroll
activities. Hence, with the implication of such technology it enable establishment to enhance its
overall sales performance and productivity ratio in an expeditious way (Ratten, 2015). However,
in context of Vodafone its manager make an effort to use this technology which aid them to keep
all its employees payroll details and record them in a safe manner. Due to which, they were able
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to control the occurrence of conflicts or disputes among manpower and can build better working
culture in an improved way.
Henceforth, with the utilisation of above explained HR strategies it motive Vodafone to
enhance its market share or size and also can enlarge the employees productivity ratio in an
effectual way among rivalries (Shields and et. al ., 2015). On the contrary, Vodafone manager
face various challenges while practising such innovative tactics within its recruitment and
selection process that may increase the possibility of arising conflict or disputes inside firm's
working environment. In the views of Nikoletta Bika, 2019, With the inappropriate management
of available resource, superior face different types of issues during recruitment process like lack
of time in filling the vacant job position, recruit cost, decision making and etc. which influence
organisation's proficiency ratio(Recruiting methods FAQ: A guide to terms and strategies, 2019).
However, for enriching the employee retention ratio and also to attain sustainable growth or
development, there are some methods which has been suggested for Vodafone to improve its
recruitment and selection process which are discussed below:
Centring more on capability rather than years of experience: Most of the organisation
HR mainly seeks for experiences in particular field that may restrict superior to analyse each
personnel abilities and capabilities in certain area (Snell, Bohlander and Morris, 2015).
However, if vodafone hr make an attempt to put more focus over candidates skill, iq level,
education qualification, knowledge related to learn, practice, experience, facilitate, insights,
shop, field, attitude towards acquiring unpredictable business environment changes. Due to such
initiation, it assist HR to recruit highly capable and talented manpower who can contribute their
best effort towards an accomplishment of business goal.
Build a strong employer brand online: Under this, if Vodafone HR uses multiple social
media platforms, Instagram, Facebook, twitter then it enable them to generate a long term
relationship with candidates across the globe as well as can hire best workforce for vacant job
position in an amended mode (Akingbola, 2015).
Invest in referrals: In this, if Vodafone manager generate an effective referral program in
which they can encourage its existing personnel to refer some skilled candidates who can
effectively impose best effort for an achievement of establishment goal. With the help of this,
Vodafone can enlarge its overall profit margin ratio and also can improve brand reputation
among competitors in an innovative manner without any hindrances.
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Evaluation of the number of HRM software programs
The HRM software is design to manage business processes, various transactions and
agreement. It allows management or organisation to focuses on people's work style. It is an
information technology that stores all information that are linked with management policies and
practices of an organisation (Arena and Uhl-Bien, 2016). In this, all information of employees
are stored in one database. It can also provides centralized perspective of employee's workforce
by alliance of applications such as performance, planing, development, management, etc. There
are some HRM software which are attain by organisation to manage culture and environment of
workplace.
UltiPro software- This software is based on human capital management and this is
design to manage company's payroll by managers. The design of this software has proper
functioning program which helps manager in recruiting new employees in organisation. It can
also help in managing, processing and calculating payroll of employees. With the help of this,
time of labour can be manage effectively so that there development can be occur. The data that
are stored in this software helps management to promote employees according to their
performance. This can help the company to compensate management and various survey
identification in workplace. It offers role access in task completing to employee such as setting
goals and pay managing. This software offers employee's benefits through mobile and computer
devices. Many managers can manage million of records of employees and people of
organisation.
Bamboo HR- this software provides human capital management service software. This
system has a dashboard in which all information about employees are separately described. It has
different sections in which report, record of vacation, personal information all occur differently.
It is design according to employee specification such as contact details, image, qualification and
other information (Baltaci and Balcı, 2017). The users of this software can see birthdays and
regular time of workplace of employee. It also has a tracking system of applicant that handle all
hiring needs of an organisation. In this, it show list about job opportunities including the number
of hiring people and duration of post. This software is easy to running but it is an expensive
software and lack some functions which allow combination of other software services.
Paycom- It is a human resource technology which provide online payroll of employees
for businesses. It also provide some other services along with human resource management. This
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software provides services such as storage of documents, management of expenses, E-Verify and
on-boarding. With the help of this software, company's growth eventually increases and they
doubled their business size. In this software all departments are categorised differently such as
sick leave, paid holidays, insurance policy, health membership, stock purchase plan and many
other (Baškarada and Watson, 2017). This software also ensures about changes that are reflected
in the system. It stores data of one employee in one place so that user does not find difficulties at
time of searching about employees of an organisation. This software plans an effective insurance
plan in the industry. It also handle sensitive information about employees and appreciate
numerous responsibilities of workers.
Among all of these, the Paycom software receive many awards as with help of this
software many company's attain numerous growth in a minimum year. It receive many awards in
various departments such as sales and technology department. As this software has highest
ranking from above software as it outstanding in managing programs and development. This
software help employees to operate functions more efficiently. It result in increase of satisfaction
of customers. With their strategy of single applications, cost of labour can be decreased and can
drive engagement of employees.
Characteristics of effective leaders taking into considerations to identify issues
Effective leaders
It refers to those individual who have good skills, abilities, qualities and competencies
like providing direction, guidances and inspiration etc. As per the view of Randol K. M. (2011),
effective leaders involve two factors like traits of leader and skills of effectiveness. An effective
leader have several essential qualities like confidence, communication, passion and motivation
etc. These types of leader are that person who are work for the development of the company in
each situation and encourage workforce to perform their roles and responsibilities (Cascio,
2015). So that organisation can attain its set business objectives in given time frame. There are
different characteristics of leaders which make them effective leader, some of them are
mentioned as below:
Risk taker- It is an essential characteristic of an effective leader. These kind of person are
very innovative in nature and try to use new approaches even if they are not successful. For
instant, in Vodafone, it is difficult to the leaders to make experiment to set up and maintain
company's rival's advantages. Effective leaders determine it and make creation in firm by
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utilising their new and innovative thoughts and take risk in order to earn competitive edge in
market.
Motivator- It is another effective characteristic of effective leader and with help of it they
encourage employees so that they can do their work in more effective manner in different
situations. An individual have this trait and quality, enjoy their work and effectively achieve their
goals and desired objectives in appropriate manner (Kamoche and Newenham-Kahindi, 2015).
These type of leader does not back down form complex situation and apart from it, they find the
way to overcome from this situation. In Vodafone, the leaders who have this characteristic, help
in encouraging workforce so that they can use their efforts and skills in completion the task in
most appropriate manner. For this, they provide motivation sessions and provide their guidance
to employees that how they can perform in better manner in a critical situation.
Clear communicator- This trait and characteristic also contains by effective leaders
which assist them to make effective communication in share appropriate information with their
staff members. It will help in deliver important information in adequate way and this quality
improve if the person have capability and competency to listen. In Vodafone, with the assistance
of it, leader can offer good advice and direction to team members and share accurate or reliable
information in context of task, work and aim or goals.
Authentic leadership model
It is a concept of leadership that offer information about the traits and skills to be an
effective leader. In 2003, this model is formulated by Bill George to determine the skills and
competencies of a leader like motivation, awareness etc. According to this conception,
authenticity is one of the crucial quality of a leader. It is essential for a person to consist some
abilities and traits like risk take, good communicator, listener, self controller and others. The
individual who are authentic leader, they have diverse characteristics such as transparency,
effective communication and others (Leroy and Peiró, 2018) . With the help of all these, they
encourage workforce to do work in effective manner and sharing relevant information to
workforce by making appropriate communication. In Vodafone, with the assistance of
motivation, they can help in maximising the level of confidence of employees so that they can do
they work properly. In accordant to Mulder P. (2019), effective communication assist in
maintaining good working environment, promoting culture of trust and sharing reliable
information. This model of leadership include some strategy like listen and share, realistic,
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constructive and others (Morley, Heraty and Michailova, 2016). With the assistance of them, a
leader can perform the task in adequate amener in term of motivating employees and providing
effective guidance to them.
CONCLUSION
As per preceding defined content, it can be conclude that HRM is an effective activity
and process of managing employees and the activities of a company. It is essential for
appropriate operations of the firm so that administration of an organisation can effectively
planning, organising and controlling its business. Different HR functions like recruitment &
selection, motivation and performance etc. help in effective running the business of the company
so that firm can accomplish its set and desired outcomes. Different characteristics of an effective
leaders like risk taker, clear communicator and others help in development and growth of the
company and gaining competitive advantages from competitive marketplace.
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