HRM Practices for Organizational Profit and Productivity

This report explores the different HRM practices used by Tesco to increase organizational profit and productivity. It discusses the benefits of performance management, training and development, and reward system for both the company and employees. It also evaluates the effectiveness of these practices in terms of raising profit and productivity.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Human resource management purpose as well as function..............................................1
P2. Weaknesses and strengths of several approaches to recruitment as well as selection.....2
M1 Evaluate HRM functions provide talent and skills appropriate to execute business
objectives................................................................................................................................3
M2 Evaluate strengths and weaknesses of various approaches to recruitment and selection 3
D1 Critically evaluate the strengths and weaknesses of various approaches to recruitment and
selection..................................................................................................................................3
TASK 2............................................................................................................................................3
P3) Explain the benefits of different HRM practices within an organisation for both the
employer and employee..........................................................................................................3
P4) Evaluate the effectiveness of different HRM practices in terms of raising organisational
profit and productivity............................................................................................................5
M3 Explore the different methods used in HRM practices, providing specific examples to
support evaluation within an organisational...........................................................................6
TASK 3............................................................................................................................................7
P5. Analyse the importance of employee relationship in influencing HRM decision making7
P6. Identify the key elements of employment legislation and the impact it has upon HRM
decision making. ....................................................................................................................7
M4 Evaluate the key aspects of employee relations management and employment legislation
that affect HRM decision-making in an organisational context.............................................8
TASK 4............................................................................................................................................8
P7 Illustrate the application of HRM practices in a work-related context, using specific
examples.................................................................................................................................8
M5 Provide a rationale for the application of specific HRM practices in a work-related context
..............................................................................................................................................10
D3 Critically evaluate employee relations and the application of HRM practices that inform
and influence decision-making in an organisational context...............................................10

CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Human resource is consider as the most effective method in business enterprise for the
company to grow and expand in market. In other words it refers to the strategic approach to
manage and control the business activities of the organisation effectively(Giauque and et., al.,
2019). The present report is based upon Tesco which is leading brand in retail outlet and sell
groceries and merchandise to users worldwide. The head office of firm is located in
Hertfordshire UK. The report covers HRM practises which is beneficial for the company to
maintain the positive environment and effectiveness of the company. Further the organisation
must follow all the employees legislation as this impact the performance as well as productivity
of the company.
TASK 1
P1. Human resource management purpose as well as function
HRM is know as the method of managing the human capital as it is responsible for
executing the policies and strategies in firm. For the organisation like Tesco the important assets
for the company is the employees. HR have the prime responsibility to take decision which are
equally beneficial for employees and also for management. The ascertains the skills, experience
and knowledge as well as put the suitable number of individuals at correct place on right time.
For effective workforce planning and resourcing, the functions as well as purposes of Tesco is
explained briefly below:
Create a better organisational culture: For maintaining the loyalty in the minds of
employees the HR manager have the responsibility to create a culture which help to optimise the
work load in the well define manner. For the firm like Tesco the HR manger should make sure
that each employees should work upon the betterment and create policies which improve the
culture and build healthy relation among employees.
Improve employees relation: This is related to the with developing harmonious
relationship with the subordinates and this initiative can be taken by solving the disputes of the
workers. Tesco HR manager should focus on taking proper feedback and make sure that changes
are made to minimising the conflict in the company.
Purpose of Human resource management:
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Staffing: This is know as the prime function of the Tesco to maintain the human resource
as this help in smooth flow of services effectively. In the present scenario company face problem
regarding the staff so proper planning and policies should be made in order to manage and
control employees effectively.
Compensation and benefits: The prime role of HR is to facilitate employees with proper
benefits and compensation to employees for their hard work. Tesco HR manager should provide
monetary benefits as it will encourage the employees to achieve the organisational goal in a well
define manner.
P2. Weaknesses and strengths of several approaches to recruitment as well as selection
Recruitment and selection is the essential method which help firm to figure out the best
candidates which is suitable for the company(Hayward and et., al., 2019). There are two types of
approaches of recruiting which are internal and external factor. Here are the strength and
weakness which are describe down below:
Internal approach:
STRENGTH WEAKNESSES
 Here Tesco management can help in
identifying the employees capabilities
and performance of the company.
 With the assistance of internal approach
both time and money are save during
the recruitment process.
 This method do not able to figure out
the best candidates which leads towards
slow down of the productivity of the
company.
 Internal approach have the limited
approaches to fulfil the needs and
requirements of the employees.
External approach:
STRENGTH WEAKNESSES
 The major strength of the external
approach is give fresh opportunity to
fresh talent which improve the
efficiency of the company.
 The major weaknesses of external
approach that it is a costly method.
Along with this, it takes lots of time as
screening and interview are the lengthy
process.
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 This help in providing company to
bring innovative minds which help
increasing the sales of the company.
M1 Evaluate HRM functions provide talent and skills appropriate to execute business objectives
By the proper planing and management practises which include recruitment, selection
and training will be carry forward effectively (Bagdadli and Gianecchini, 2019). For the
company like Tesco this is essential for the company to create a better relationship with the
workers by taking proper feedback and makes changed to improve the quality in offering .
M2 Evaluate strengths and weaknesses of various approaches to recruitment and selection
CRITERIA STRENGTH WEAKNESSES
Interview is the process of
identifying the best candidates
which is suitable for the job.
This method help in recruiting
the best employees who can
improve the position of the
company.
The strong point is that the
firm use to manage and hire
new employees which is
consider beneficial for the
company.
The major weaknesses is bias
can be done by interviewer as
this help in reduce to overcome
the actual talent from the
different candidates.
D1 Critically evaluate the strengths and weaknesses of various approaches to recruitment and
selection
This has been identified that HRM plays an vital role in developing and creating healthy
and efficacious culture in the organisation. The important strength of this particular methods is
obtaining a huge number of proficient candidates, among various applicants the talented one get
recruited. The external requirements help in attracting more and more candidates who have better
experience in the particular sector.
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TASK 2
P3) Explain the benefits of different HRM practices within an organisation for both the employer
and employee.
HRM defines as human resource management and it is a systematic approach of the
organisation to achieve their set target and goals at a specific period of time (Giauque and et. al.,
2019). HRM lead to the effective approach of the manager that increases the productivity of the
company also helps to achieve the competitive advantage.
Tesco uses different human resource management practices that help them to gain the
competitive advantage and also helps the manager to make some strategy that enhance the
employee's performance. HRM practices is a system that helps the manager to motivate and
develop, retain the employee and builds an effective outcome of all that is useful for the
company in terms of growth and development. It is beneficial for both company and employee
for company it is useful to reduce to labour cost while for employee it is useful to protect their
rights. There are several benefits of HRM practices that is used by Tesco to enhance its
productivity these are as follows:
 Performance management: It is a process that ensures that individual, group, company
achieve their target at a particular period of time and also shows what the company
achieve, how much effectively the employee perform their task. Tesco uses this techique
for to get to know how effectively the target has been achieved by both company and
employee.
Benefit of performance management for
company
Benefit of performance management for
employee
 Effective and efficient decision-making
process.
 Accomplishment of goals and
objective.
 Employee's get job- satisfaction.
 Set clear goals and target.
 Training and development: It is a process that involves the effective growth of both
individual and employee. Tesco uses training and development as the HRM practices as it
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is important for both company and employee (Hayward and et. al., 2019). Employee get
training by which they enhance their skills and helps for their own development, while it
is useful for the company as after providing training to their employee, they perform even
more better that directly affects the growth and development of the company.
Benefit of Training and development for
company
Benefit of Training and development for
employee
 Increases the productivity.
 Provides stability in the Tesco.
 Tesco is more developed and the cost
will also be saved.
 Increases the morale and confidence of
the employee.
 It is a continuous process that increases
the personality, skills, knowledge of the
employee.
 Reward system: It is a system in which the appraisal is provided to the one who's
performance is better compare to others (Jabbour and et. al., 2019). Tesco uses this HRM
practices as employee get bonus, perks, recognition, promotion according to their
performance while company also get benefits by reward system as Tesco provide rewards
to the employee who perform better and that motivates the employee to perform the task
with more efficiency.
Benefit of Reward system for company Benefit of Reward system for employee
 Customizes the cost of company as
well as builds positive strength of the
company.
 Exert competition in the company that
leads the overall performance.
 Helps the employee to differentiate
between the low and high performance.
 Employee get motivated to perform
even more effective manner.
P4) Evaluate the effectiveness of different HRM practices in terms of raising organisational
profit and productivity.
Profit and productivity are the two factor which can be influenced by the internal and
external factors of the company that is related to the performance. Tesco can raise its
organisational profit and productivity by raising the performance of the employees or the
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company as well. These are some HRM practices that is used to raised the organisational profit
and productivity these are defined as below as:
 Performance management: It is the process that ensures that the target is achieved at a
particular period of time or not and that can directly leads the performance of all
individual and company (Kanki, 2019). Performance management is used to raised the
organisational profit and productivity, as it clearly shows that how much effectively the
target has been achieved by the every individual of the company. It is collective result of
everyone's performance that leads to enhance the productivity and profit of the company.
If each and every member of the company know their target and they all achieve that
target in a particular period of time than in result Tesco also achieve its target that
ultimately leads the profit and productivity of the company.
 Training and development: It is the process that increases the effectiveness and
efficiency of the company. Training and development is a systematic approach that
enhance the individual skills, knowledge,experience, ability, etc. of the employee and in
collectively it shows the company's image which is completely depends upon the
employees of that company(Machlis and Tichnell, 2019). And in an organisation if the
employee is well skilled they always perform their task with full commitment, focused
and controls and accomplish their goals in a effective manner that leads to increase their
performance. Thus if all the employee's are well trained and developed they achieve their
target in a more effective manner that leads to increases performance and that also leads
to the profit and productivity of Tesco.
 Reward system: It is process under which the work of the individual will be considered
by the Tesco and by analysing the individual performance the reward will be presented to
the employee's. It is system that motivates the employee in terms of rewards like perks,
bonus, promotion, recognition, authority, incentives etc. Thus the employee get the
rewards according to their performance and the employee get influenced by reward
system to perform their task with more consistency. Reward system provides employee a
job satisfaction and company get the loyal employees, thus this is a process that helps the
Tesco to increase their profit and productivity. The much the employee satisfied towards
their work that much effectively they perform and their performance leads to effective
raising of profit and productivity.
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M3 Explore the different methods used in HRM practices, providing specific examples to
support evaluation within an organisational
The different HRM practices used by Tesco is to increase the profit and productivity by
enhancing the performance of the employee and that affects the growth of the company. If the
employee's of the company are motivated thus they perform well and that is raised by providing
reward, promotion, bonus, etc. and that directly affects the performance of the company as well
If the employee are much focused towards their target then they work with more commitment
and reflects the positive growth on the employee and that leads the overall performance of the
Tesco. As company's performance is directly based on employee's performance if employee
work better that affects the company's performance and if employee's doesn't work well that also
affects the performance of the company.
TASK 3
P5. Analyse the importance of employee relationship in influencing HRM decision making
In any of the business organisation, the role of HRM increases where they does have the
number of roles and responsibilities to perform (O’Connor and Crowley-Henry, 2019). In any of
the situation they are not allowed to take any of those decision which does create problem for the
business organisation as well as for employees. While talking about TESCO Plc, they have
developed the business environment where they allow their employees to take part in decision
making which helps them to perform better in any of the situation. Whenever employees have a
better relationship among each other, they will be able to perform better in each and every
situation and even better co-ordination will be found. In short, it will allow TESCO Plc to
accomplish their goals with in the specific time period (Sheng and McDonough, 2019). Below,
some of the points has been mentioned which simply allow the organisation to accomplish, if
there is better working environment and that even helps HRM at the time of taking decision.
 Profit Enhancement: If company like TESCO will have a suitable employee
relationship within their business organisation then they will allow themselves to achieve
the target. This will directly allow them to increase sale which will have positive impact
on profit.
 Minimise disputes: Whenever company is able to perform better by having suitable
employees relation then they will give them the opportunity to reduce the percentage of
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dispute within the organisation. It will be the responsibility of HRM department to ensure
and try that healthy relations can be maintained which will allow the business
organisation to reduce reduce dispute and increase the profit.
P6. Identify the key elements of employment legislation and the impact it has upon HRM
decision making.
Human Resource Department is crucial department which has has different roles and
responsibilities which is needed to be performed. Among different roles and responsibilities
forming the laws and regulation plays the crucial role to manage the employees. Talking about
TESCO Plc, their HRM department will have to considered legal policies formed by the
legislation at the time of forming law. Below, some of the laws which will have a impact on
HRM of TESCO are mentioned.
Anti-discrimination Law, 1995: This is the law which says that management of TESCO
Plc will not be able to discriminate any of the employees on the basis of colour, age or even
gender (Szymanski and et., al., 2019). It means all of the employees will be able to get equal
opportunity through which worker will give themselves to perform better.
Health and safety Law, 1974: Employees will be able to perform as per the requirement
of organisation if they will be provided with health and safety while working within the
organisation. In context of TESCO Plc, their Human Resource department must focus on provide
proper health and safety related facilities which will allow them to perform as per the
requirement of a organisation.
Equal pay act, 1970: One of the most important law in present scenario is equal pay
where each and every employees must be given equal pay who are performing their work at a
similar ground. Talking about the HR department of TESCO Plc, they will need to ensure that
they will not do discrimination at the time of paying salary to any of the employees. If in any of
the situation they will not have equal pay grade then in that particular situation legal actions can
be taken against the organisation.
M4 Evaluate the key aspects of employee relations management and employment legislation that
affect HRM decision-making in an organisational context
It is said that if in any of the situation, company like TESCO Plc gets the opportunity to
exclude different laws and regulation then there will be higher possibilities that discrimination
will be done within the organisation (Venugopal and et., al., 2019). There will be very less
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opportunity that employees will get the chance to perform together. But, following the laws and
regulations will allow the company to perform better and even goals will also be accomplished.
TASK 4
P7 Illustrate the application of HRM practices in a work-related context, using specific
examples.
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JOB DESCRIPTION
Company Name: TESCO Plc.
Job post: Human Resource executive
Division: Human resource
Roles and Responsibilities
 To find out the candidate for employees who are able to adjust and able to perform
within the organisation as per the requirement.
 To focus on the work of forming new plans and policies in context of betterment of
employees.
 For the purpose of providing different rewards and benefits, measure the performance of
employees on regular basis.
Qualification requirements
 Must have the favourable educational background in the field of HRM from any of
known University.
 Must have completed graduated from the known university with minimum first division.
Experience required
 Past experience should be minimum of at-least 2 years from any of the well known
organisation.
PERSON SPECIFICATION
Academic qualification
 Must have the degree in the field of Human Resource Department.
Key skills and capabilities:
 Should have the skills like communication, decision making.
 Must be able to develop qualified team
 Should have the quality to lead the team
Experience
 Mandatory to have the experience of at least 2 years.
 Experience needed at least one year.
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Interview preparatory notes: This is essential for HR manager to have set of interview
questionnaire before taking interview. The HR should develop proper set of question which are
going to be asked by manager of the company. Here are some few sets of question which are
mentioned below:
 Tell me about yourself?
 What are your skills and hobbies?
 Why should we hire you?
 Where do you see yourself in years?
M5 Provide a rationale for the application of specific HRM practices in a work-related context
The main reason behind preparing the person specification and job description is just be
add on the capabilities of a company. It will simply allow the organisation to hire the right
candidate which will be able to perform as per the requirement. It will simply allow to
accomplish the goals of an organisation.
D3 Critically evaluate employee relations and the application of HRM practices that inform and
influence decision-making in an organisational context
It is understandable that HRM practises is one of the way which simply allows the
business organisation to perform better in any of the situation. It gives the idea to maintain
healthy relation among the employees which directly have a positive impact at the time of
accomplishing the goals. Even it is the way which will allow the company to reduce conflicts
among the employees.
CONCLUSION
As per the above mentioned report it has been analysed that HRM plays an vital role in
managing as well as controlling the organisation in the effectively manner. In order to manage
different activities in the organisation the firm must use different HR practises which aid in
achieving the task in time. To comply in the systematic manner different kinds of strength and
weakness should be identified to improve the working environment of the company.
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REFERENCES
Books and Journals
Bagdadli, S. and Gianecchini, M., 2019. Organizational career management practices and
objective career success: A systematic review and framework. Human Resource
Management Review, 29(3), pp.353-370.
Giauque and et., al., 2019. Stress and turnover intents in international organizations: social
support and work–life balance as resources. The International Journal of Human
Resource Management, 30(5), pp.879-901.
Hayward and et., al., 2019. The migration of crew resource management training. In Crew
resource management (pp. 421-447). Academic Press.
Jabbour and et., al., 2019. Who is in charge? A review and a research agenda on the ‘human
side’of the circular economy. Journal of Cleaner Production.
Kanki, B.G., 2019. Communication and crew resource management. In Crew resource
management (pp. 103-137). Academic Press.
Machlis, G.E. and Tichnell, D.L., 2019. The state of the world's parks: An international
assessment for resource management, policy, and research. Routledge.
O’Connor, E.P. and Crowley-Henry, M., 2019. Exploring the relationship between exclusive
talent management, perceived organizational justice and employee engagement:
bridging the literature. Journal of Business Ethics, 156(4), pp.903-917.
Sheng, X. and McDonough, J.C., FMR LLC, 2019. Efficient resource management using mobile
devices and wearable devices. U.S. Patent Application 10/289,970.
Szymanski and et., al., 2019. Human resource development: An examination of perceived
training needs of certified rehabilitation counselors. Journal of Applied Rehabilitation
Counseling, 24(4), pp.58-70.
Venugopal and et., al., 2019. Strengthening organizational ambidexterity with top management
team mechanisms and processes. The International Journal of Human Resource
Management, 30(4), pp.586-617.
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