This report provides a detailed analysis of Human Resource Management, focusing on concepts of strategic HRM, impact of regional culture on HRM, organisational levers, and more. It is based on Tesco, a leading retailing company in the UK, and covers various aspects of HRM practices. A must-read for students studying HRM.
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Report Human Resource Management 1
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Table of Content Contents Contents...........................................................................................................................................2 INTRODUCTION...........................................................................................................................3 Main Body.......................................................................................................................................3 Task A) Concepts of strategic human resource management......................................................3 Task B Impact of regional culture on HRM................................................................................4 Task C. State the organisational levers........................................................................................6 Task D. Using storeyâs 27 point of difference, state the practice that is adopted in accordance of chosen organisation.................................................................................................................6 Task E. When it comes to hiring and firing, do you consider the importance of local culture...7 Task F. Examines the differences in relation of employment laws.............................................8 Task G. Use corporate example to justify your stand..................................................................9 Recommendations............................................................................................................................9 CONCLUSION..............................................................................................................................10 REFERENCES..............................................................................................................................11 3
INTRODUCTION Human resource management is a broader term in management which is considered as core unit of an organisation as it deals with several functions such as recruitment and selection, training and development as it assists company in preparation of strategic planning so that goal is accomplished in a respective time period as it aids in gaining competitive advancement across the globe (Armstrong and Taylor, 2020). In other words, this aspect of management is designed in such a manner which tends to maximise the performance of employees as they are concerned with formulation of policies and procedures which determine the level of success in a workplace (Ruparel and et. al., 2020). This report is based on Tesco which is one of the leading retailing company in UK as it deals with varieties of groceries, food items and other household essentials and also it procures several financial services such as bank and many more. The company is propounded by Jack Cohen as the firm is measured as third giant retailer across the worldwide and it aims to deliver best quality of product among their customers by building trust and generate customer loyalty among them.The Tesco company is planning to enter the market of Indonesia which is officially the Republic of Indonesia taht is a country situated in Southeast Asia to have enhancement in its productivity and performance.This report covers several concepts of strategic human resource management and impact of culture on a workplace. This report includes several levers which are used by a firm as it creates more value and also significance of culture that are need to be undertaken by HRM is also discussed in this report. At last, several employment laws which change the overall human resource system is covered in this report. Main Body Task A) Concepts of strategic human resource management Today in a modern era, human resource is considered as worth in an organisation as it assists the management to ensure long term growth and sustainability within a marketplace. The manager of Tesco tends to hire the attractive and talented workforce so that it could render an innovative idea and facilitate best decision making that provide a vast success and aids in gaining a strong competitive advantage across the globe (Bailey and et.al., 2018). In the context of Tesco, the several concepts of human resource management are elucidated below: 4
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Effective recruitment and selection strategy:The HR manager of Tesco would recruit best and efficient workforce and involve them in core activities as their active participation would help in rendering an excellent idea and thus provide a superior level of growth(Lasisi and et. al., 2020). This provides the greater value to a firm and help in attainment of targets on a timely basis. By using such standardised method, they would assure in gaining an utmost importance in case of retailing sector. Resource management:The manager of Tesco would tend to use optimum utilisation of resources such as manpower, machines, money and methods so as to gain maximum output level as it accelerates greater productivity. They should make assure that they could make an efficient planning by deciding the best course of action among the several alternatives available which aids in achieving goal within limited period of time (Berman, and et.al., 2019). High engagement:This approach is more useful as the manager of concerned firm treat their employees with dignity and respect as they could raise their voice which is a matter for concern as it involves better communication among the top-level managers and staff which provide a peaceful and better environment(dos Santos and Pedro,2020). It is essential that the senior authority would communicate the ideas, vision and mission among the team members so that they could work towards it with zeal and enthusiasm that adds more worth to a firm especially in retailing company like Tesco. Performance management:This is a broader term in HRM as it covers growth, sales, productivity as other management practices which is opted by Tesco such as pay benefits, extensive training programmes and clear and specific job design that facilitate proper working procedure in a workplace and thus enable high performance of members which improve overall performance contribute more value proposition to a firm. On the basis of above discussion, an analysis can be made that effective recruitment and section is a vital HR strategy that lead to enhancement in competitive strength of Tesco in Indonesiathroughprovidingamoreskilledandtalentedworkforce.Further,resources management and effective performance management by the way o f effective training and setting proper control over efficiency of employees also leads to improved Internal capabilities and strengths for Tesco to have higher competitive power in the business environment. 5
Task B Impact of regional culture on HRM In an era of globalisation, there is changes taken place at a rapid rate so the manager of Tesco would tend to upgrade the overall technology so as to ensure greater ease of convenience within a firm. This simplify the overall working aspect especially to employees which create a high level of satisfaction among them as this promote a better culture in a workplace. Every organisation has its own culture, tradition and customs as well as rules and regulation which is differ from one another as it has impact on human resource management (Boella and Goss- Turner, 2019). The culture of Tesco is embedded with correct implementation of recruitment strategy as the quality of staff would help in determining that whether it would work well in a dynamic environment and could handle complexities as it is necessary that they could ensure a reasonable level of success in case of retailing company. They make sure that they could identify the bestselectionprocedureand assigning themwork in a mostappropriatemannerin accordance of their talent and skills as it boosts the level of productivity. If the performance of subordinates in a respective firm has improvised, then it built a strong culture which bring a positiveatmosphereandhelpinaccomplishingsustainabilitywithinamarketplace.In accordance of Hofstedeâs culture, the dimension is given beneath in relation to Tesco: Individualism vs collectivism:The manager of Tesco would use such dimension as it is more stick towards the achievement of business objectives as it places more emphasis on well- being of overall team members or group which reflect a better image (Tan, 2020). The differences between the norms, beliefs and values of national culture influence the human resourcepractices.TescofollowscollectivismculturewhichimpactsonHRMpractices positively as it increases loyalty of employees towards the firm. Masculinity vs. Femininity:The senior authority of Tesco provides a greater equality among men and women on the basis of achievements which nurture best quality of life. The manager would tend to provide equal pay among the males and females so that they could feel satisfied and discrimination is encouraged (Marchington and et.al., 2016). This culture impacts positively on the HRM practices of company. Long term vs short term orientation:In case of long and short-term orientation, the former deals with long term success while the latter deal with short success as it focuses on quick an effective result. The senior manager of Tesco would stress on measuring long term success as 6
it convinces the vision and goal among the members so that they could work towards it as early as possible. Power distance index:This emphasise that high power would reflect a culture which inspire bureaucracy while the low power reflects a structure of an organisation which is decentralised and place more focus on distribution of power. Tesco cultivates low power index as it focuses more towards participative style of leadership which maximise their satisfaction level and aids in retaining them for a longer time(Alomari, 2020). This dimension depicts about the acceptance of unequal distribution of power within Nations. When the power distance indexes are high in the organisation, then inequalities accepted largely which leads to autocratic management practices. Whereas, low power distance index in the organisation depicts desire for strong interpersonal relationship, equality and increasing employee involvement. Tesco follows low power distance index which impacts positively on HRM practices of company and help in developing strong interpersonal relationships. Task C. State the organisational levers The organisational model and concept of employment that could be used by Tesco to attract and cater more talent employees for its effective performance comprises of vocational profiling which leads and provides a unique planning that enables employees to indentify that they want to achieve and ensure direction for getting there. Further, Employer engagement is also a vital organisational of employment to make new candidates learn about the job and support the HR team through leading an effective recruitment and engagement at workplace. The various levers that are used by Tesco in order to create high value are as follows: Demandmanagement:Theseniorexecutiveofarespectivefirmwouldtendto implement and execute demand management so that it could meet the requirements and expectations of a business as it would provide offerings by following low cost strategy which maximise the sales operations of a business (Tran and et.al., 2020). Outsourcing:This is one of the best measure that Tesco could use as it could rely on third parties for non core activities of business purpose as it saves time and help in operating the business at a global level as it facilitates proper organisational structure which bring discipline and transparency in a workplace because it ensures coordination and avoid confusion among them (Herzberg, 2017). 7
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Leanmanagementmodel:Thismodelstatesthatthereshouldbecontinuous improvement in system as employees in a concerned firm must eliminate all sort of defects and must discover new and smart ways of working which promote a better culture as they are connected with goals and strategy that render a meaningful experience. Develop capabilities plus talent:The leader of Tesco would align the skills of employees in a best possible manner as it make ensure that it would make proper division of work in such a manner that right skills must be matched by right talent which boost their satisfaction level which raises the level of productivity(Haq, Gu and Huo, 2020). Therefore, the top management of Tesco would render rewards and recognise the efforts of employees which increase their motivation level as they would work hard beyond their potential so that maximum output could be gained. This provide desirable results and thus provides prospects of growth which in turn provide value proposition to a firm. Task D. Using storeyâs 27 point of difference, state the practice that is adopted in accordance of chosen organisation According to storeyâs 27 point of difference, there is greater difference among personnel and human resource management as the former is based on transactional approach and deal with indirect form of communication whereas latter is based on transformational approach and is customer oriented as direct communication take place in business aspect as it leads to fast and accuracy of decision but decision making is slow in case of personal management (Chelladurai and Kerwin, 2018). Strict norms and procedures and strict monitoring and reviewing is necessary in personnel management while the latter would focus on nurturing values and missions. Through this, the team members of Tesco are well informed about the goals and job duties so that they would not have any sort of confusions as they would work with passion and enthusiasm which provide a greater degree of success which boost the morale and generate productivity (Upadhyay and Khandelwal, 2018). As personnel management is strictly adhering to rules and regulations and lead to delay in overall activities as they would not take immediate action which hamper the overall growth prospects of a business enterprise. The use of human resource management by Tesco would ensure that they would formulate a new vision as it identifies the gaps and root cause of problems so that it could take better recommendations and help in filtering innovative solutions in a quicker manner. The senior executive of a Tesco in Asia would practice human resource management as it is most suitable and appropriate method as it tends to 8
promote new style of working by making constant modifications in order to facilitate smooth operations effectively. THE27POINTSOFDIFFERENCEBETWEENHRMANDPERSONNEL MANAGEMENT 9
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On the basis of above table it can be evaluated that personal management is seemed to be more workforces centred which is directly associated with the finding and training of employees where as HRM seems to be more resources centred that is responsible for line management and other developments. Task E. When it comes to hiring and firing, do you consider the importance of local culture The models and theories of hiring comprises of various type of recruitment process that could be used by Tesco Plc to appoint and recruit new employees. Basically there are two main modes of recruitment comprises of internal and external hiring. The concept of Internal hiring is basically associated with appointing of employees from pre-existing employees. The model of internal hiring used by Tesco comprises of promotion, transfer and job rotation strategies to incur an internal recruitment process. The external hiring process and model of Tesco consists of use of advertising and promotion strategy to attract and cater attention of talented employees to fill vacant job position through hiring a new and more competent employees from outside the organisation. Yes, culture play a crucial role in an organisation like Tesco as it is interlinked with rules and regulations, traditions, customs and so on. In case of hiring and recruiting the most efficient workforce would provide an utmost growth as it renders an excellent opportunity for business to grow at an international level and help in expansion and diversification of a business entity (Mondy and Martocchio, 2016). Also, an appropriate culture would guide employees and provide a systematic way to them the manner they interact with others by abiding all policies and procedures so as to bring accountability and transparency in a company. While in case of termination, every company has its own policies as they prefer to protect their business from lawsuits as it affects the overall working procedure. Human resource management must tend to resolve the level of conflict and promote a healthy work culture by bringing bestamong employeesandalso itmust compliancewith employmentlawsby maintaining an efficient record of their applicants(Gärtner, 2020). Open communication and building effective relation with subordinates are the most significant factors which aids in retaining employees for a longer time period as this promote a better culture and sense of team spirit within the confines of retailing company. By hiring the right candidates and trained them with right skills is necessary as it reflect a better personality which help in filling vacant job positions as the abilities and skills are utilised 11
so that positive outcomes could be achieved (Morgeson, Brannick and Levine, 2019). Proper implementation of HRM practices would help in recruiting the most attractive candidate and providing them with constant apprenticeship programmes so as to broaden their knowledge level as they would be able to accept additional responsibilities which develop trust and determination among them. Performance appraisal is the another HRM practices which improve the morale of subordinates as sense of appreciation and financial incentives are awarded by the manager which makes them to improve their performance in order to bring prosperity of success within a workplace. Task F. Examines the differences in relation of employment laws The manager of Tesco abides all rules of employment laws which in turn maintain harmony in a workplace and thus promote a good culture (Brewster and Hegewisch, 2017). They obey healthy and safety with the motive to promote welfare among their workers with necessary tool kit which bring a peaceful environment and also they would abide data protection act by maintaining confidentiality of information of their clients and employees which build trust among them and in case if such personal details is leaked then this would hamper their overall performance. Furthermore, the manager would also follow employment laws by stating the terms and condition clearly to them so that they could not arise misunderstanding and disputes in future (Walker, 2020). International HRM practices has change the entire business scenario as it deploys the attractive workforce which bring smooth conduct of activities as they are aware of new and advanced technology as they tend to take decision with full accuracy and thus allow the company to generate more success (Wilton, 2016). The main motive of a respective firm is to make an appropriate deployment of human resource which tends to maintain quality culture and satisfying the priorities of customers which aids in achieving competitive advancement across the globe (Van Esch, Black and Ferolie, 2019). While maintaining proper employment laws, the manager of Tesco would ensure that complying such laws would aid in ensuring the protection of workers as they would maintain a healthy work life balance which bring sustainability for a long term. These laws and regulation would allow employer to promote equality irrespective of discrimination, colour, gender, religion and so on and also encourage to pay equity among both males and females as they have similar job duties and obligations to perform which bring transparency in retailing company(Riana and et. al., 2020). Globalisation is the key reason that 12
allow Tesco to enjoy greater economy of scales it has enhance the level of competition in terms of competencies and demographic characteristics and so on. The main models and theories of employment law mediates the relationship between workers, employing entities, trade unions and the government. The main forms of employment that every orgnisation needs to follow comprises of Equality act, 2010. It is vital for Tesco company to implicate all models and concepts provided by the equality act, 2010 which comprises of providing a workplace which is free from all type of discrimination and biasness. Implication of equality act, 2010 ensures a more positive workplace environment which enhance productivity and performance level of employees. Further, the health and safety model of employment law is also vital for Tesco which emphasises on providing a safe and sound workplace environment which meets all basic needs and requirement of an employee and offer a healthy and positive working environment for workforce. Task G. Use corporate example to justify your stand As per the view ofBratton and Gold 2017, human resource plays vital functions in an organisation such as planning and recruiting the most capable staff by implementing proper recruitment and selection procedure so that they could ensure smooth operations in a workplace. By hiring such a potential candidate would facilitate active participation in decision making procedure by rendering advanced ideas which promotes a drastic growth of a firm in a desirable manner(Stein and Scholz, 2020). The manager of Tesco would tend to organise the work more efficiently by following proper division of work by creating a proper balance between authority and responsibility as it eliminates duplication of activities in case of retailing sector. For example:theleaderofTescorenderproperguidanceamongitsstaffwithitsgreat communication skills as this would enhance the level of productivity by utilising resources effectively and efficiently. The supervisor of a respective firm also focuses on monitoring the activities of staff and evaluate their performance on a monthly basis so that they could further improve their performance which shape a bright future of the company. The senior manager of Tesco prepares an effective strategy on promotion campaigns by preparation of budgets and other financial statements so that they could spent it wisely. They use social media platforms like Facebook, Instagram and other respective sites and sale promotion in order to maximise the sales operations of a business. 13
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Recommendations TheseniormanagementofTescowouldrenderonthejobtrainingamongtheir subordinates so as to maximise their knowledge base which prove to be more productive as they would be capable of handling sophisticated machines which develop confidence and positive attitude in them. The business environment is considered as dynamic so the employer of respective firm would focus on inculcating changes in a workplace as it would conduct research and development so as to determine the taste and preferences of customers, identify the nature and strategy of competitors and so on(Aburumman and et. al., 2020). The manager would also provide several financial and non-financial benefits among their employees as it expects best performance from them which in turn boost their morale and enhance greater productivity. The senior executive of Tesco formulates an effective planning in advance which involve delegation of task in a proper manner which bring positive consequences. Feedback is one of the most effective method that provide further information among their staff about where they need to take improvement and eliminate their weakness by taking corrective action after analysing deviation as this promote a better atmosphere in a workplace(Rianaand et. al., 2020). The manager would implement unity of command and unity of direction in their workplace as it promotes free flow of communications as instruction would be received to them as this would avoid misunderstandings from them. Additionally, the manager would bring proper coordination in a workplace by dividing the work in accordance of the specialised skills among their staff so that they could not face any kind of difficulty and would tend to work with enthusiasm as this improve the productivity as it provide a greater chance in their career prospects (Skaalvik and Skaalvik, 2017). The leader would direct the overall work as it would influence by its conduct and way among the workers as they would not feel hesitate in sharing their grievances and work-related issues which promote a better and peaceful environment within the confines of retailing sector. The manager of a respective firm also emphasises on creating effective relation with their colleagues by interacting with them and solving their problems as they follow democratic style which help in cultivating knowledge among the team members as it provides a vast opportunity to learn and explore their career. 14
CONCLUSION From the above information, it can be comprehended that the role of human resource is vital in an organisation as it is responsible for the overall functioning of a workplace. They play a greater role in an organisation as it tends to attract the application of candidate for filling the suitable job position and conduct interview and select the best and capable person for a respective position. Employment laws and the affect of culture in a workplace is also discussed which help in gaining a better understanding regarding application of rules and regulation that bring a desired success level. 15
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