Benefits of HRM Practices for Employees and Employers

This article discusses the benefits of HRM practices for both employees and employers. It explores how HRM practices can raise profits and productivity in an organization. The article also highlights the various HRM practices used by Tesco, such as training and development and reward systems.

Human Resource
Management

Table of Contents
INTRODUCTION...........................................................................................................................4
LO1 .................................................................................................................................................4
Purpose and functions of HRM in planning and resourcing.......................................................4
HRM in providing talent and skills to fulfil business objectives................................................6
Strengths and weaknesses of approaches of recruitment and selection......................................6
LO 2.................................................................................................................................................8
Benefits of HRM practices for both employees and employers.................................................8
Effectiveness of HRM practices to raise profits and productivity in organisation.....................9
HRM practices used in organisation.........................................................................................10
LO 3...............................................................................................................................................10
Importance of employee relations and their impact on HRM decision-making.......................10
Key elements of employment legislation..................................................................................11
Impact of employee relations and employment legislation in HRM decision making in
organisation...............................................................................................................................11
LO 4...............................................................................................................................................12
Various HRM practices.............................................................................................................12
Rationale of using HRM practices in organisation...................................................................14
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16

INTRODUCTION
HRM refers to an effective practice which includes hiring, recruiting, selection, training
and many more which help an organization to accomplish their business goals & objectives.
Human Resource department in a business organisation mainly concerned for creating,
developing, and managing all the activities related to human resources which grab plenty
opportunities present at the competitive marketplace. Also, HR manager of the company are
highly responsible for the attainment of goals in an appropriate manner (Armstrong and Taylor,
2014). In the present report, TESCO is chosen as the base organization which is a multinational
retail business entity whose headquarter is located in England. Company mainly deals in various
types of grocery items as well as merchandising across the whole wide world. In this report,
discussion is based on the scope & purpose of human resource management along with the
strength and weakness of different selection & recruitment process. Key legal legislation are also
going to be discussed in this report apart from internal as well as external elements which affects
the decision making process of the management team.
LO1
Purpose and functions of HRM in planning and resourcing
Meaning of HRM
HRM is the process mainly used by a business entity in order to facilitate individuals
working in a business entity. This will assist in aligning individuals behavioural pattern as well
as performance of staff members with the aim of the company which requires to be attained by
the management team.
Significance and Purposes of HRM
HRM considered as a most essential function for every business entity like Tesco. Some of the
important purposes are going to be discussed as follows:
 To create a positive working environment where all the staff members can perform their
functions in an effective manner.
 To make sure that the whole organization will be well equipped with all the safety &
security measures.

 To develop a corporative working environment in which all the legal policies are
adopted, all the work perform in ethical manner and create discrimination free
environment.
Functions of HRM
HRM plays very essential role in an organization as it consist of some effective functions
which are going to be discussed as follows in a detail manner in context of Tesco:
Recruitment & selection: Recruitment define as an essential function of human resource
management which aims to attract large number of qualified and skilled candidates in the vacant
jo position at the organization. In reference to Tesco, it is a function which holds the role of
recruiting qualified individuals in order to fulfil the vacant place (Wright, 2018). Apart from this,
the function has its own responsibility of hiring and recruiting skilled staff members as soon as
the vacancies arise.
Training & development: This is the another function which focuses in implementing
training as well as development sessions so that they can improve the skills and knowledge as
per the changing requirements. In relation to Tesco, the function has its role of acquainting staff
members with essential skills, knowledge so they can implement all the tasks properly. Apart
from this, responsibility of this function is to enhance the skill as well as knowledge of workers
in order to perform all the business functions in an appropriate manner.
Workforce Planning
It refers to an indispensable procedure which is linked with HRM. It is mainly concerned
with the examination done to know the needs of organisation in context of skills, experience,
knowledge, size and soon associated to the staff members in order to accomplish goals and
objectives.
Significance of Workforce Planning
Workforce planning have very essential and significant role within the organizational premises
of Tesco. Some of the key significant points are going to be discussed as follows:
 The effective implementation of all the workforce planning practices result in the
retention of capable staff members within the workplace for a longer period of time. Workforce planning help in avoiding disruption as well as delay which can influence the
overall performance and profitability of the company (Upadhyay and Khandelwal, 2018).
Role of human resource in Workforce Planning

It has been identified that workforce planning refers to a comprehensive process of HRM which
gives support to the management team of Tesco in order to acquire talented and skilled
candidates with the assistance of effective recruitment and selection process. This as a result aid
management team in order to hire right person at the right time at right place.
HRM in providing talent and skills to fulfil business objectives
HR department is one of the most essential and crucial unit in an organisation that not
only align organisation mission and values with performance employees in order to develop
positive organisational culture through which entity can high quality product and services to
fulfil consumer satisfaction, but having strong HR department Tesco heir skilled and efficient
candidates and make them understand core principles and value of organisation with different
type of programs initiatives in order to drive their daily basis activities towards company goal. It
has been identified that in Tesco human resource manager maintain adequate staff in order to
fulfil human resource need of company provide effective training to candidates in order to
maximize their performance to accomplish organisational goals (Van Esch, Black and Ferolie,
2019).
Strengths and weaknesses of approaches of recruitment and selection
Recruitment can be said to be a process of identification, interview, assortment as well as
hiring an employee in an organisation. Taking Tesco into consideration there are a number of
ways through which company recruits employees from different locations. Below mentioned are
various options available for recruitment with their advantages and disadvantages:
Promotion: In this method reassignment of an already existing employees of organization is
done to a higher level which will increase their duties and responsibilities along with payment
privileges. This is a great way for Tesco to promote talented and skilled employees in the
organization to higher level.
Advantages: Helps in increasing morale of the employs and also increases their motivation
which stimulates the employs in an organization to work harder.
Disadvantages: employees who are not promoted usually get disappointed and this leads to word
a negative environment in the business. It also restricts the organisation from hiring fresh and
new talent.
External agencies: This is a method where an organization seeks filling the vacancies through
external structure of companies.

Advantages: It helps the company to bring in new talent which comes with new ideas and
innovations in the organization. External agencies also have large pool of candidates which
provides organization with a number of options to choose from (Landay and DeArmond, 2018).
Disadvantages: external agencies do not have knowledge about the actual workforce
requirement in the organisation and they are also expensive for recruitment process.
Selection is the process in which the most suitable applicant from all the applications
received is selected. According to Tesco below mentioned that various approaches for selection
along with their advantages and disadvantages:
Interviews: It is a method undertaken by organization to determine which candidate must be
selected for a particular job. With the help of this method Tesco selects the most appropriate
candidate for the vacant job.
Advantages: It helps an organization in reducing their operational cost through helping them to
select right employees for the right job position.
Disadvantages: This is the time consuming process for organization. It also results in increasing
the waiting time for both employees as well as management (Spychała, and et. al., 2019).
Online screening and shortlist: In this process job application, formal job interview and
telephonic interview are included. In Tesco all these are undertaken under the guidance of human
resource manager.
Advantages: This helps in filtering the candidate according to the job requirement and also helps
in handling different forms of application in an effective way.
Disadvantages: This method is time-consuming and also requires involvement of a number of
employees of organization to re-evaluate and examine all the criteria filled by an applicant in
their application.
When taking Tesco into consideration promotion and interviews are best way for the
organization to recruit and select employs for vacancies. This helps organization to have total
control over recruitment and selection process. It effectively uses the present talent in the
organization through promoting them and also through interviews new talent can be hired by the
organization (Van Esch, Black and Ferolie, 2019). A combination of both these processes helps
Tesco in raising employee satisfaction along with fulfilling goals and objectives of the
organisation.

LO 2
Benefits of HRM practices for both employees and employers
There are varieties of HRM practices which are executed by superior authority of the
company to achieve their goals at global level. Some of these practices are Reward system,
training and development and recruitment process through which they attain the success. It has
been seen that HRM practices in Tesco also helps employees, employer and an organization at
the same time to accomplish their goal while maximizing their profit. Some of the benefits
HRM practices are explained below:
Benefits of HRM practices for employer
HRM practices makes sure that company employer follow the entire legal norm that they can
freely work at workplace which leads to achieve the certain goals (Holm and Haahr, 2019).
These practices also help the company to create a happy environment for their employers to
work which leads to maximizing the productivity without any kind of issues. In addition to this
HRM practices also provides a healthier environment to team which helps employees to work
with this company for longer period of time.
Benefits of HRM practices for employees
The first and foremost benefits of employees are that they are taking advantages of opportunities
created by the company which helps to improve the skills of them and increases their
productivity. The managerial team is constantly working on them which lead to enhance their
positivity towards work and creating several opportunities in future too. Now a day’s different
technology indulges with HRM practices which help to smoothen the work of employees and to
increase their performances in a very efficient manner.
It has been said that there are some benefits to both employee and employer with the help
of which they can easily grab positive outcome at the competitive marketplace. It is said that in
the present relation to TESCO, employer will be able to maximise the performance of staff
members which assist them in maintaining the sustainability at the marketplace for a longer
period of time (Walker, 2020). On the other hand, in reference to employees benefits is that they
can develop their overall personality by getting training and development sessions.

Effectiveness of HRM practices to raise profits and productivity in organisation
HRM practices are the useful legal norms which helps the business and employees in very
positive manner. Some of the common HRM practices are applied by the HR manger of TESCO
are training and development, reward system and many more. These HRM practices help the
TESCO to hike their profitable margin in a very shorter period of time. Some of these practices
used by TESCO are explained below in detailed manner:
Training and development
In an organization like TESCO, at a particular time every employee have to go through
training session so that they can improve their working abilities, skills and their performances
which help the organization to accomplish their goal and generate profit. The training provided
by HR managers helps employees come out with the modern ideas which enhance the company
growth. On other hand main weakness of training and develop process is providing training in
same organization is costly method (Shibly, 2019). It has been identified that when a business
entity modify its strategy or adopt new technologies in order to maintain competition level it is
necessary for them to provide training session to their current staff members . Along with this,
when a business organisation hire new candidates for their vacant job position they must provide
them training related to their job roles so they can understand the working process of the
company.
Reward system
The managerial team of TESCO also appreciate their employees by giving them monetary
and non-monetary benefits for achieving the goals. Reward system always encourages the
employees to increase their performances by accomplishing their target in minimal time. By
incorporating reward system as it provides main benefit to company is that employees finish
their task in particular time frame. This system has only one lack point that it creates feeling of
jealousy between the employees on the basis of their rewards. It makes the environment
unhealthier to work. If talking about reward system, it is required by the management team to
keep an eye on the performance of staff members on a regular basis so that they can understand
the efficiency and effectiveness of an individual. On the basis of the examination of the
performance of individual person, it has been said that employees get reward and benefits which
keep them motivated and encouraged to perform in more effective manner. Apart from this, it

sometimes create disputes and conflicts among the workers which affect the working
environment in an adverse manner.
Various HRM practices like staffing, training and development, reward system, performance
management, compensation etc. can help in increasing the efficiency and productivity of
employees so that they can perform their roles and responsibilities efficiently. This increase the
motivation among employees along with enhancing innovations in company so that a
competitive advantage can be gained in market. Thus the HRM practices help in improving
productivity and profitability of overall organisation by managing staff and directing their efforts
in achieving company goals and objectives on time and within budget.
HRM practices used in organisation
Tesco undertake wide range of methods that acts as HRM practices undertaken in order to
support corporate objectives. In context with Tesco it has been identified that with the presence
of feedback, clear task and function, small group activities, performance evaluation system,
effective communication, involvement of employee recognition and promotion Tesco HR
manager support employees performance towards organisational goals and further maximise
capability of company to undertake maximum profitable advantages along strong brand image in
respective industrial segment (Read. and Leland, 2019).
LO 3
Importance of employee relations and their impact on HRM decision-making
Employees’ relation define as the effort which is placed by organizations so that they can
create positive relationship between the staff members and employers. In this context, Tesco
have adopted various types of strategies and policies in order to develop positive relationship
with their workers which can affect the decision making of HRM. Some essential employee
relation policies and strategies with their significance are as follows:
Collective agreement: It is identified as one of the most effective strategy in kind of a
contract among trade union and employers which includes specifics norms needs to be followed
by both employees and employer. In reference to Tesco, an agreement is developed by HR
manager which consist of staff members into the development and implementation of the whole
contract (Sharma, 2020). It has also been identified that while taking any sort of decision, it is
required to follow all the terms and conditions and discuss it with the employees. This assist

them in order to create positive relationship among employees and employer which leads
towards the accomplishment of organizational goals and objectives.
Grievance: It sees as a formal method with the help of which complains can be
developed by the staff members against their employers within the workplace. It has been
identified that grievance comes under the best and most suitable strategy which adopted by the
human resource manager of Tesco. With the help of this strategy each and every individual get
opportunity to express their thoughts, issues and views faced by them while performing their
functions within the organization. As per the queries and issues received by the HR manager,
they can take decisions for their future task and implement them within the workplace.
With the assistance of above mentioned data, it has been identified that there are different
types of HRM strategies adopted by HR manager which aid them in retaining their staff
members for a longer period of time. Along with this, collective agreement as well as grievance
are the essential strategy which help in creating strong and positive relationship among the
employees and help in taking effective decision for future (Wright, 2018).
Key elements of employment legislation
In a business entity it is essential to adopt some legal policies which create positive results
for the growth and development of the organization at competitive marketplace. In Tesco,
manager of the company adopt some effective legislation which are discussed as follows:
Equality Act 2010:It is an act which protects the staff members within the organisation
from any kind of discrimination arise at organisational premises. In the present context of Tesco,
human resources manager of the organization ensures that each and every person get equivalent
opportunities at the workplace which assist them in motivating their staff members (Landay and
DeArmond, 2018).
Sex Discrimination act 1975: According to this act, there must not be any sort of discrimination
arise at the business organisation on the basis of gender of the person. In relation to Tesco, it is
said that HR manager ensure that there might not discrimination at workplace while providing
appraisals to their employees.
Health & Safety act 1974: This is the act which says that it is the essential responsibility of the
management team that they must provide healthy working environment to their staff members. In
reference to the Human resource management team of Tesco, they provide safety and security
measures to their staff members while performing all business activities at the competitive

marketplace. This will assist them in order to retain their staff members for a longer period and
develop positive image at the competitive marketplace.
Impact of employee relations and employment legislation in HRM decision making in
organisation
Employee relations management and employee legislations are essential aspect which is
having capacity to affect HRM decision-making process in a company. It has been identified that
by undertaking key aspects of employee relations management like evaluating employer needs,
honest communication, measuring and monitoring results, balancing work and life means, HR
manager of Tesco encourage performance of employees. Along with this they motivate and
inspire, maintain equality in workplace structure to facilitate their growth towards maximum
benefit for organisation. While in terms with employment legislation it is essential for HR
manager to undertake all the necessary legislation into concern like health and safety act, quality
act into the decision making process as to facilitate performance and growth of both employees
and entity.
LO 4
Various HRM practices
(A) Job specification
Job Title: Human Resource Assistant
Address: Tesco, United Kingdom
Job overview: This job role has the responsibility in order to expand human resource within the
organization in an effective manner. HR assistants aid in recruiting, conducting job interview,
selection as well as in managing their staff members performance.
Qualification:
 Graduation in Business administration
 Post Graduation degree in Human resource management
Experience and Knowledge:
 Knowledge about HR payroll
 Understanding related to conducting Training and development programs
 Basic knowledge about Employment laws and legislation.
Skills:

 Problem-solving skill
 Team management skills
 Communication skill.
(B) Curriculum vitae:
XYZ
Address: ABC Street, London, UK.
Phone no:09745-59453
Objectives: To work in a systematic and well-organised business entity where I can effectively
execute all my knowledge and skills related to recruitment and selection process within the
organization.
Work experience:
 Min 2 years work experience in HR department
 Internship or training in HR Department for 1 year
Qualification:
 Bachelor degree in Business administration
 Masters degree in human resource management
(C) Interview question:
1) What all you known about the company?
2) Tell me something about yourself and your experience in the field?
3) Tell me about your strength & weakness?
4) How can you handle stress within the workplace?
5) How effectively you solve conflicts arise at workplace among the staff members?
(D) Offer letter:
Dear XYZ
I am very overwhelmed to inform you about your selection in our organization on the post of
HR Assistant.
Job roles and responsibilities:

 Identify the needs of staff members within the organisations.
 Analyse the performance of employees on a regular basis.
 Conduct recruitment and selection process.
Reporting to: Human resource Supervisor
Basic salary: $150000 per month
Working hours:9.30AM – 6PM
Rationale of using HRM practices in organisation
In order to maximize employees performance in order to change rate competitive edge in
marketplace Tesco HR manager undertake advantage of Extrinsic and Intrinsic Reward HRM
practices in order to motivate employees performance, as to raise organisational productivity and
profitability. In terms with intrinsic rewards it termed as problem solving skills, intelligence etc
to employees. In this Tesco HR manager effectively monitor performance of employees on daily
basis as to provide them opportunity to display their competency level. While in terms with
extensive award Tesco offer tangible rewards to their employees in order to motivate them at
quit extend as to increase organisation market share. In addition to this, it has been identified that
with the application of this method HR manager not only aim towards maximising organisational
profitability but also accelerate employee’s growth in effective manner.

CONCLUSION
With the assistance of above report, it is concluded that human resource management
plays very important and significant role as it assist in hiring skilled candidates who can aid them
in achieving their targets in an effective manner. Along with this, it has also been identified that
HR manager is the one who are highly responsible for recruiting candidates and managing all the
functions in an appropriate way. Apart from this, it has easily been identified that there are
different types of selection and recruitment methods with the help of which managers can
effectively attain their pre determine targets. Furthermore, there are different kind of legislations
which need to be adopted by the management team so that they can conduct all their business
functions in an ethical manner.

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