This document provides an overview of Human Resource Management (HRM), including its purpose, functions, and different practices. It also discusses the significance of employee relations and the impact of employee legislations on HRM decision-making. The content focuses on the case of Apple Company.
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Unit 3: Human Resource Managemen
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TABLE OF CONTENTS INTRODUCTION...........................................................................................................................4 LO 1.................................................................................................................................................4 Purpose and functions of HRM...................................................................................................4 Strengths and weaknesses of approaches of recruitment and selection.......................................5 LO 2.................................................................................................................................................7 Different practices of HRM.........................................................................................................7 Effectiveness of HRM practices..................................................................................................8 LO 3.................................................................................................................................................9 Significance of Employee Relations............................................................................................9 Elements of Employee Legislations and its impacts on decision-making of HRM..................10 LO 4...............................................................................................................................................10 Implementation of HRM practices............................................................................................10 CONCLUSION..............................................................................................................................12 REFERENCES..............................................................................................................................14
INTRODUCTION Human Resource Management also referred to as HRM is basically the practice of managing the people for achieving better performance. The people involved in HRM contribute to the organisation greatly as they also make up the workforce of the company. HRM is mainly responsibleforpracticeslikeRecruitmentandSelection,LearningandDevelopment, Performance Management, Compensation and benefits, HR data and analytics etc. The below report will shed light on the HRM department and the practices in Apple which is multinationaltechnologycompanyheadquarteredinCalifornia.Thecompanydealsin developing, designing and selling the consumer electronics, online services and computer software. The company is considered as one of the Big Five companies in the information technology industry in US (Apple Inc.,2021). The report will highlight the purpose of HRM and its functions along with mentioning the different approaches to recruitment and selection along with its merits and demerits. This will be followed by highlighting the different practices of HRM in context with Apple Company. The significance of employee relations and the legislations will be highlighted. The practices of HRM will be applied in context of Apple. LO 1 P1 Purpose and functions of HRM Workforce planning: It is the main function of human resource to plan for workforce requirement of the organization. HR of apple ensure that they hire right candidate for right position. HR evaluate candidate by seeing their knowledge and skills which matched with the position or not. Training and development: HR of apple provide training and development to their employees. Training is necessary so that employees learn skills to perform their job. Training is also essential so that advanced knowledge can be taken. 4
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Healthy working environment: Providing healthy working environment is the right of every employee. HR of apple makes sure that workplace environment is safe and secure for employees so that they don't fear in working. M1 functions of HRM provide talent and skills to fulfil business goals. Recruitment and selection: It is another major function of HR. HR attract candidate by giving advertisement after analysing application suitable candidate are called for interview (Singh, 2020). After face to face interview and written best HR of apple select best candidate for company. Performance management: Managing the performance of employees is the duty of HR.HR provide feedbacks to employees. HR of apple appreciate employees for good performance and guide them where it is is needed. It increases motivation amongst workforce and which increase their productivity. P2 Strengths and weaknesses of approaches of recruitment and selection Recruitment: HR recruit employees by taking their interview and certain test. They recruit those employees who are best fit for the position. Internal recruitment: it means when employees are selected from within organization only. It includes promotion of existing employees to higher position, employee referral: under this old employees provide reference to the company, if company have excess work they even call their retired employees. Strengths: it saves time, cost effective and reliable source of recruitment. It does not require induction because employee already know about company. It motivates workforce of organization. It helps in reducing employee turnover rate. Weaknesses: 5
it stops entering fresh and young talent in the organization which can give creative ideas. It cannot fill of vacancy of the business, it has less scope. Higher authority can be biased when promotingemployees.Thoseemployeewhodidnotgotpromotioncanbedemotivated. Demotivation can decrease employee morale and productivity. External recruitment: when employees are hired from outside of the company. Strength: it brings young talent. Chances of partiality are less. Weaknesses: it is costly and consume time. Selection: after recruitment, right candidate is selected and provide training. Group discussion: when selection is done via discussing in group. Strength: it is efficient because it helps in removing large number of candidate in one go. Weaknesses: Candidate is judged only on the basis of group discussion. There are chances that company cannot get best fit through this process. Face to face interview: when interview is connected face to face between interviewer and interviewee. Strength: when interview is done face to face then HR can notice body language of candidate. Weaknesses: It can nervous candidate (Foiji, Hoque and Khan, 2019). 6
m2 strengths and weaknesses of approaches of recruitment and selection. Internal recruitment saves time and money but weakness is it eliminate creative employees. Through external recruitment company can get young talent. Weakness is that it is costly. Through panel interview candidates can be selected in one go but there are chance that efficient candidates can be eliminated. D1 strengths and weaknesses of approaches of selection and recruitment Internal recruitment can bring more knowledgeable employee but can be biased. Face to face interview can helpful in evaluating candidates effectively but there are changes that employee can get nervous. LO 2 P3 : Different practices of HRM The practices performed by HRM helps in leading to superior performance of the organisation. The HR of the Apple executes the practices correctly, and then this will add value to the business and the goals. There are various practices which are performed by the Apple Company which are as follows: Providing Security to the employees This deals in providing employment security which gives a major reason for the employees to work. The company provides formal as well as informal contract between the employee and the employer. Apple also provides employees to go home after working hours so that they can manage work life balance. This also helps the company in retaining the employees which helps them in gaining competitive advantage. Selective Hiring This deals in hiring the right people who are best fit for the job. Apple Company does their best for hiring exceptional people who can help in adding value to the business. The company also make use of various recruitment tools which helps in making right selection. Apple also makes use of selection instruments such as peer assessments, reference checks and the work tests for uncovering the characteristics of the key candidates which are the ability, trainability and the commitment (Singh, 2020). 7
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Fair and Performance based compensation This is considered as the best practice which deals in the compensation and benefits. The Apple Company compensate the employees above average because these are the people which helps in adding most value to the company and must be retained and paid fairly. The company also couple individual rewards according to the contributions made by the employees. Training in relevant skills This is to ensure that the employees of the company remain the frontrunners in the industry. Apple Company invests heavily on the training of the employees and also spares budget for the same. The developing rate of the technology is increasing day by day which creates a need for the employees to be trained and much efficient to perform their tasks according to the rapid changes in the technology (Fedorova, Koropets and Gatti, 2019). This is the reason behind the importance of learning and development. The company Apple monitors the changes and the trends and prepares its employees by giving them specific trainings. Self-managed and effective teams This helps the teams to achieve the goals and the high performance team helps in achieving success in the organisations. The teams in Apple Company consist of different kinds of employees having different skills contribute towards achieving similar goals. These different ideas are processed, combined which results in the best outcome (Thevanes and Arulrajah, 2017). The HR of the company considers this as the responsibility to create and nurture high performance teams by making use of the Belbin’s Team Role Inventory. This is how; M3 : Different Methods of HRM Practices Different methods of HRM practices are, providing security to the employees which meaning providing pension and other security benefits to their salary packages, fair and performance based compensation given to the employees, training individuals with relevant skills, hiring of right people who are best fit for the job and self-managing of effective teams. With the help of these methods HRM develops effectiveness of employee in Apple Company. 8
D2 : Evaluation of HRM practices There are numerous practices which are performed by the HR of the companies like Apple which benefits not only the employees but also the organizations like Apple. Apple Company also manages the performance appraisal which helps in measuring the performance of the employees by making use of performance appraisal technologies. P4 : Effectiveness of HRM practices The HR department of the companies need to manage its functions as well as practices in order to improve the performance of the employees as well as the organisation. The company must ensure that practices of the HRM are effectively implemented to satisfy the employees as well as increases the profitability of the company. There must be a positive relationship between the practices of HRM such as planning, placement and selection evaluation of the performance of the personnel, employees training etc. The implementation and the managing of HRM practices must be able to meet the HRM objectives, provides the best services which can meet the needs of the internal customers, fulfils the strategic objectives of the organisation and enhances the outcomes of HRM (Alieva, 2019). HRM of Apple Company ensures the effectiveness of all its practices. It makes use of updated techniques and technologies for providing the best manpower and also ensuring that the employees are sufficient with the right skills. The company uses compensation systems which help in recognising and encouraging the team and individual performance. This helps in satisfying the needs and requirements of the internal customers by applying the adequate payments. The company also ensures that the employees in all the departments are well trained and continuously learning. Apple Company also manages the performance appraisal which helps in measuring the performance of the employees by making use of performance appraisal technologies. LO 3 P5 :Significance of Employee Relations The employees at the workplaces share a certain relationship with the fellow workers. They need people to discuss ideas with each other for sharing the sorrows and happiness. Employee relations play a major role as individual cannot work alone at workplace as this type of isolated environment de-motivates the individual and also spreads negativity around. HRM of 9
Apple Company ensures that the people working in the organisation are comfortable with each other and work as a single unit towards a specific common goal (Student, 2020). The employee relation is important because there are many issues where decisions cannot take decisions alone. At this time, they can take advice and guidance of others along with getting the feedbacks from the colleagues regarding the good as well as bad things. The HRM of the Apple Company ensures that healthy relation is maintained among the employees. This can ease the workload and also increases the productivity. If the employees work as a family then the organisations become a happy place to work. The HRM of the Apple Company believes that if the employees share the things with each other then the tension can be evaporated and the employees can feel better. Also, the employees being in the company of others whom they can trust makes them feel secure and confident and also can perform in the best manner. If there is healthy relationship among the employees, this helps in discouraging the conflicts and fights. The employees of the Apple Company start adjusting with each other instead of finding faults (Madan, 2017). They can concentrate on performing on the tasks rather than involving in the conflicts and fights. This can also help in reducing the problem of absenteeism at the work places. The employees start showing interesting towards the work and stops complaining about each other. The employees can even share the secrets with each other for which sense of trust must be there. The HRM of the Apple Company ensures that the employees do not waste their time in meaningless disputes and conflicts. There must be a warm relationship with the fellow workers because this cannot be predicted that which employee can help in the need of another employee. At this time, the other employee who can be trusted can handle the work on your behalf (Razak and et.al., 2020). This is how, the healthy employee relations helps in spreading positivity around the workplace. The external factors which affect the HRM decision making include the economic, technological, socio-cultural, political-legal, market changes and professional association. The internal factors which affect the decision making of HRM include corporate objectives, marketing strategies, operational strategies and financial strategies. 10
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M4 : Key aspects of Employee Relationship Management Key aspects of Employee Relationship Management are, that the employee relation is important because there are many issues where decisions cannot take decisions alone, healthy relationship among the employees, helps in reduction of conflicts and fights and employees can even share the secrets with each other and employees turn into single unit towards a specific common goal. P6 : Elements of Employee Legislations and its impacts on decision-making of HRM There are various federal as well as state laws which have a greater impact on the Human Resource of the company which depends on the size of the business. The Apple Company adapts various legislations but also needs to be updated regarding the laws which can also help in reducing the liability of the organisation on the basis of HR operations. There are many laws whichmustbefollowedbyHRMwhichhelpsinimplementingvariouspracticeslike recruitment, performance based compensation and many more. Apple Company makes use of two major laws which are Equal Pay Act, 1963 and Occupational Safety and Health Act of 1970. These affect the HRM as well as the employees of the company greatly. The Equal Pay Act of 1963 helps in prohibiting the sex based wage discrimination between women and men working in the company which requires equal efforts, skills and responsibility under same conditions. There are many doors opened for lawsuits as the employees are treated equal throughout the company (GarcĂa and et.al., 2019). Furthermore, the main goals of the Occupational Safety and Health Act of 1970 is ensuring that the employees are provided with the environment which is free from hazards such as heat or cold stress, unsanitary conditions, excessive noise levels etc. Along with these, the company must also adhere to various other laws such as National Minimum Wage Act 1998 which creates NWM for workers and employees in UK, Employment Relations Act 1999 which establishes various rights at the workplace for the derecognition and recognition of trade union and the industrial actions etc. The elements of these laws include the equal work opportunities to find jobs, prevention of sexual assault, labour and business benefits, employ unions and other labour affairs, social protection, healthcare and health insurance for staff and many more. There must be mutual arrangements between the employers and the employees to the regulations.Employment and labour law 2021 must be implemented for the employees working in Apple Company. The health and safety at work Act 1974 must be adhered to as it is the primary piece of legislation which covers the 11
occupational health and safety measures in Great Britain. This acts place a duty on employers for protecting the health, safety and welfare at the time of work. D3 : Evaluation of employee relations and application of HRM practises. The employees at the workplaces share a certain relationship with the fellow workers. They need people to discuss ideas with each other for sharing the sorrows and happiness this is called employee relations. HR of the company considers this as the responsibility to create and nurture high performance teams by making employees at the workplaces share a certain relationship. Factors which affect decision-making of HRM There are various factors of HRM which affects decision making and these include corporate objectives, operational strategies, marketing strategies, financial strategies, market changes, economic changes, social changes, technological changes, professional association and many more. LO 4 P7 :Implementation of HRM practices There are various HRM practices including the Selective Hiring, Providing Security, training, fair and performance based compensation etc. Apple Company needs to implement these practices effectively in order to attract and retain the best employees along with increasing the profitability of the organisation (Nedrow, 2020).The systematic process of recruitment include various steps such as forming a selection committee, writing job description, posting job advert, creating a shortlist and arranging interviews, conducting interviews and reviewing the scores, making preferred selection, checking references and sending job offer letter. Apple company can make use of these steps to hire the talented an skilled employees. Advert for the role of HR manager Apple Inc., being an American multinational technology company headquartered in California deals in the designing, developing and selling the products like consumer electronics, online services and computer software. The company being one of the top five companies in the 12
information technology industry in US is looking for HR manager who is able to perform the duties efficiently and effectively in its business units in UK and in various other countries (Dileep and Monica, 2018). REQUIREMENTS Gender:Male Position:1 Age:26-40 Qualification:M.B.A in the Human Resource field. Experience:At-least 2 years of experience in the field of HR. Skills:Budgeting, Leadership, Communication, Problem-Solving, Decision-making and many more. JOB DESCRIPTION Company Name:Apple Inc. Job Title:Human Resource Manager Qualification:M.B.A. in the Human Resource Field. Experience:Minimum experience of 2 years in the HR department. Skills:Decision-making,communication,fluentinEnglish,interpersonalandconceptual, technical, positive attitude, reliability, courageous, adaptable in every situation and many more for contributing positively towards the welfare of employees as well as the organisation (Singh and Misra, 2021). Duties & Responsibilities: ď‚·Able to aware the employees regarding their need and the contribution they make positively towards the organisation. ď‚·Able to evaluate the performance of the employees and also frequently appraises them for the good work done by them which can help in motivating them. ď‚·Must be able to make use of advanced methods and software to perform various tasks such as recruitment, interviews, counselling for competing in the emerging market. ď‚·Must be able to organise various learning and development programs including the 13
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training for enhancing skills of the employees. Offer Letter Dear Paul Shamlee Wason The team of Apple Inc. is pleased in informing you that you are selected for the HR manager post in the business units of the company in UK. The data of joining is confirmed on 1st April 2021 with the following terms and conditions (Anyim and Nwosu, 2018). You are entitled for 2000 per month. Every terms and conditions of the company must be followed by you. At the time of induction, you must carry two identity proofs which are approved by government along with 3 passport size photos for verification. The company is waiting for your confirmation as soon as after receiving the letter. Thank You. Apple Inc. CV 14
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M5 : Application of specific HRM practices HRM practices are required to understand and apply effectiveness of employees. The application of HRM basically refers to hiring of new individuals and re-attainment of new staff. Finding new staff for the company Apple is very essential for improving its business HRM practises helps the company to gain the best employees along with increasing the profitability of the organization. CONCLUSION The report concluded about various aspects of HRM of Apple Inc. The purpose and functions of HRM were highlighted including workforce planning recruitment and selection, training and development and many more. The strengths and weaknesses of the various approaches to recruitment and selection were also highlighted. The report also shed light on the various HRM practices and its effectiveness in the company including providing security, performance based compensation etc. This was followed by mentioning the significance of the employee relations and the employee legislations in decision making of HRM. The report was ended by implementing one of the major practice of HRM i.e., recruitment and selection by making use of Job description, advert and offer letter. 17
REFERENCES Books and Journals Alieva, A., 2019. The effect of anticompetitive behavior by global companies on small local businesses by the example of the techonolgy industry and the cases of Apple and Google. Anyim, E. and Nwosu, M., 2018. The Impact Of Recruitment And Selection In Nigeria.Business Excellence and Management.8(3). pp.5-11. Dileep, H. and Monica, M., 2018. A Study on The Influence of Recruitment and Selection on Organizational Performance at Apple Auto Pvt. Ltd, Bangalore. Fedorova, A., Koropets, O. and Gatti, M., 2019. Digitalization of human resource management practices and its impact on employees’ well-being.URL: https://www. researchgate. net/publication/333075755_Digitalizationofhumanresourcemanagement practices_and_its_impact_on_employees' _well-being (in Eng.). Foiji, M., Hoque, M.A. and Khan, M.B.H., 2019. Strategic Potential of e-HRM in Outsourcing HR Functions.International Journal of Business and Social Research.9(2). pp.1-10. GarcĂa, G.A. and et.al., 2019. Employee involvement and job satisfaction: a tale of the millennial generation.Employee Relations: The International Journal. Madan,S.,2017.MOVINGFROMEMPLOYEESATISFACTIONTOEMPLOYEE ENGAGEMENT.CLEARInternationalJournalofResearchinCommerce& Management.8(6). Nedrow, E., 2020. Under the Radar: Employee Benefit Developments in 2020: And Believe It or Not, They're Not COVID-Related.Tax Executive.72. p.44. Razak, M. and et.al., 2020. Antecedents and consequence of brand management: empirical study of Apple’s brand product.Journal of Asia Business Studies. Singh,H.,2020.IMPACTOFHUMANRESOURCEMANAGEMENTSYSTEMONHR FUNCTIONS OF VARIOUS ORGANIZATIONS(Doctoral dissertation). Singh, K. and Misra, M., 2021. The evolving path of CSR: toward business and society relationship.Journal of Economic and Administrative Sciences. Student, S.B.M., 2020. Do HRM Systems & Practices Influence the Start-Up Organisation?-A Critical Review.SMS Journal of Entrepreneurship & Innovation.6(2). pp.83-93. 18
Thevanes, N. and Arulrajah, A.A., 2017. The search for sustainable human resource management practices:Areviewandreflections.InProceedingsofFourteenthInternational Conference on Business Management (ICBM)(pp. 606-634). Online Apple Inc.,2021. [ONLINE]. Available through :< https://www.apple.com/uk/> 19