Importance of Employee Relations in HRM Decision-Making

This article discusses the importance of employee relations in influencing HRM decision-making. It highlights how effective employee relations contribute to a positive work environment and impact organizational productivity and profitability. The article also emphasizes the role of employee satisfaction in increasing productivity.

Human Resource
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
P1. Defining key purpose along with functions of HRM............................................................3
P2. Determining strengths and weaknesses concerned with approaches to recruitment and
approaches of selection................................................................................................................5
P3. Defining benefits of HRM practices in context to employer and employee.........................6
P4. Evaluating effectiveness of diverse types of HRM practices that plays role in raising
organization profit and productivity............................................................................................7
P5. Illustrating importance related to employee relations which is essential to influence HRM
decision-making...........................................................................................................................9
P6. Defining key elements that are closely related to employment legislation and its impact in
HRM decision-making...............................................................................................................10
P7. Analyse of application of different HRM Practices for work related setting......................11
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Concept of human Resource Management refers to an unique process of practising
recruitment, selection and management of employees along with organization (Morris, 2017).
Burberry is British luxury fashion organisation which is specialise in dispenses outwear,
fragrances, make-ups along with fashion accessories.
The report will analyse purpose in addition functions of HRM. It also includes strength
and weakness of different approaches to recruitment and selection will be identified. Benefits of
HRM practices for employer and employee. Effectiveness of HRM practices will be explained.
Importance of employee relations influencing HRM decision-making will be identified. Key
elements of employment legislation will be assisted by its impact upon HRM decision-making.
Application of HRM, practices will be elaborated.
MAIN BODY
P1. Defining key purpose along with functions of HRM
Mission of Burberry — For uphold integrity in addition vitality and continue to develop
occupational which remnants relevant to ever evolving marketplaces then consumer tastes
(Sprovieri, 2017).
Purpose of Burberry — Purpose of Burberry is to design products and make operational
aspects of business efficient.
Business Objectives of Burberry — Objectives of Burberry Company is to make
profits, growth and survival.

Human Resource Management is defined as the process of managing the overall activities
of organization. HRM activities include recruiting, hiring, selecting and training of employees.
Purpose of HRM in Burberry is to remove barriers and issues which arise at the
workplace or in organization (Chemuturi and Chemuturi, 2020). These issues concern employee
retention, poor work — life balance, job security and lack of career development. HRM solves
these problems and ensures that organization faces no further issues regarding any of such topics
which cannot be solved. For this, HRM hires and select right people and place them at right jobs.
This not only generates efficient employees in organization but also helps in contributing to
maximize company's performance. The HR management fulfil all those needs and wants by
ensuring good working conditions and taking care of their employees so that there are less
number of retentions (Aust and et.al., 2020). HRM serves the purpose to the organization by -
 Internal and external recruitment
 Compensation to employees
 Selection of candidates
 Employee and worker relations
 Career and organization development
 Training and On-boarding employees
Functions that are part of HRM in Burberry applicable to concept of workforce planning and
resourcing are as follows - Workforce Planning — HRM Plans about future needs of the organization. It is an
important aspect in which organization plans beforehand which shapes different
processes of company to become more effective and efficient. Recruitment and Selection — HRM ensures process of attracting and placing the right
candidates for right job role (Hardy, 2019). For this, right strategies are applied for
efficient performance is desired from candidates. Performance Management — For employees to be productive and engaged, Human
Resource Management concentrates on the performance of employees in organization
and encourages employees to work more positively towards their goals and objectives. Training and Development — HR ensures that employees of organization enable skills
and abilities which helps in contributing to entity as whole. HRM bridges the gap
between workforce in current scenario and workforce needed for future.

 Reward management — HRM provides rewards and incentives to employees who
perform par excellence (Mehra, 2018). Rewards to employees include increase in salary,
recognition, status, promotion along with this, HRM also provides satisfying work —
life. Communication — HRM ensures that there is proper flow of communication between
the employees and management. This is a necessary aspect to know what changes can be
done for growth of the company.
P2. Determining strengths and weaknesses concerned with approaches to recruitment and
approaches of selection
Different approaches to recruitment and selection includes -
Internal Approach of Recruitment — The internal process of recruitment involves hiring
individuals from within organization (Abbasi and et.al., 2020). Some internal sources to
recruitment are - Transfer — Transfer of employees denote that they are placed at similar job role. This
becomes both strength and weakness for the organization. The strength it holds is that the
employees of Burberry work in a different set of workplace. While weakness, it holds is
that job role does not change and employee works within same job role as previously
placed on. Promotion — Promotion of employees is up-gradation of position which is held by
employees along with new responsibilities appointed to them. The strength which
promotion process holds is that less cost is incurred to hire person as compared from
external sources (Hossen, Begum and Sultana, 2018). The weakness it holds is that
employees find difficulty in new workplace environment. Employee Referrals — Employee referrals helps in recruitment process to be easier and
effective when employees of organization refer jobs to the other individuals to apply for.
The strength of employee referrals is that organizations get opportunity to hire new
employees. Weakness employee referrals denote concerns that during reference process
individual may turn out to be unproductive than expected.

External Approach of Recruitment — The external sources of recruitment mean hiring
individuals from outside the organization (Acikgoz, 2019). Some external sources of recruitment
are - Media Advertisement — The company recruits by generating ads in newspapers,
providing detail about company, informing about the job position, skills and
qualifications. This becomes the strength for company in hiring employees on detail
notes. The weakness it holds is that through this process individuals may not be able to
properly identify details the company mentions.
 Casual Callers — Casual callers become strength to organization in recruitment process
as they are able to attract interested candidates for company. Weakness which casual
caller factor holds is that recruiters may not find it easy to reach individuals willing to get
placed in company. Walk — ins — Walk — ins is strength to Burberry as it becomes easy for the company
to physically analyse the candidates' ability to work. The weakness this factor holds is
that it creates chaos in process of recruitment as individuals may gather not on a serious
front of actually taking job.
P3. Defining benefits of HRM practices in context to employer and employee
Benefits of HRM practices for employer and employee in Burberry are - Organizational Culture plays an important role in company. The HRM Practices benefits
company in its growth and welfare, brings together values, beliefs, company vision and
working procedures which organization has been following. Employers get benefit from
the organization culture through the business environment which the company follows.
HR team of the company generates flexible time management policy that benefits the
employees in their work. Training and Development practice by HR benefits the organization as it helps company
in attaining and maintaining best of employers and employees who work towards
achievement of goals and objectives to be accomplished effectively and efficiently
(Hobson, Davie and Farquhar, 2019). Employers frame the training and development
procedures to be followed by the employees of organization which enables best of
employees to make contribution towards productivity in work.

 Developing Good Relations is the best HR practice followed by company. This practice
helps organization to maintain cordial relationships between employers and employee so
that productivity is reflected in work which they perform. Employers make sure that
efficient relations are maintained between them and the employees. This practice framed
by HR benefits organization and employees of Burberry as they enable good
communication with the firm on whole. Recruitment and Retention is one of the major HR practices which enables employers
and employees of organization to skilfully perform their work in recruitment and hiring
procedure (Varela, Trilling and Monteiro, 2017). Employers process this function for
selection of valuable employees contributing to growth of organization. This pattern is
practised in Burberry as it attracts the right candidates and removes the employees who
are not able to produce productivity in their performance. Conflict Management is the main concern of company practising it. HR Management is
concerned about issues and problems which employees and organization faces on large
scale. Employers of organization manages conflicts and issues that may arise due to
misunderstandings with the employees. Thus, for this, conflict management practice is
framed by HRM which ensures that company and its employees work in cordial manner. Fair and Performance — Based Compensation is one of the main practices which is
entitled by HR management. This ensures that organization provides fair compensation to
employees according to their performance which is reflected in the work performed by
them. Thus, this practice benefits both employers and its employees effectively and
efficiently.
P4. Evaluating effectiveness of diverse types of HRM practices that plays role in raising
organization profit and productivity
In a business, there are different HRM practices which raises profits and productivity in
performance of employees of Burberry. The HRM practices which increases productivity
of organization are concerned with the balance sheets and financial profitability in overall
year calculated. The profitability continues with the company as it expands business with
different diversifications leading to variety of work processes involved in the company
(Rahimi and Abadi, 2020). Financial value of the workforce contributes to company's

employee productivity. HR professional of Burberry understand and communicate the
return on investment for helping in raise productivity of firm. HRM practices along with
profitability enhances the productivity that employees of the company contribute to. More
the engagement of employees for organization, more productive results will be generated.
These HRM practices which Burberry follows with reference to profits and productivity
are as follows —
 Retention of unskilled employees which concerns productivity factor. HR management
of Burberry provides the facilities which helps in employee turnover enhancing more
productivity of the employees (Hong and et.al., 2019).
 Development of effective leadership in company enabled effective teams for work to be
effectively and efficiently be accomplished.
 On-boarding new employees in company enhanced company's work culture which
consisted of skilled employees resulting to produce productivity in their work.
 The company also follows one attractive practice known as talent management which
retains talented employees in company by placing them according to their skills and
ability.
 Rewards are given to employees for achieving the heights and delivering productive
performance in work. This practice concerns the performance management which helps
Burberry to analyse the employees' contribution towards growth and development overall
(Belle-Hallsworth and Gordon, 2019).
 Providing incentives to employees of Burberry is also an important HR practice which
leads to effectiveness as it helps in raising profits which is valuable factor for both
organization and employees.
Thus, by following different HRM practices, company retains employees and reduces turnover.
This helps Burberry analyse its position in external business environment and accordingly
changes the practices which are revenant to trends followed in market structure. The productivity
and profitability are increased on terms of how Burberry outperforms (Mira and et.al., 2019). In
growth and development of the company, it becomes very important to note past and present
performance which will then add up to future expectations and believability. Therefore, HR
practices followed by Burberry contributes to organization and employees productivity and
profitability to be effectively achieved for growth and development.

P5. Illustrating importance related to employee relations which is essential to influence HRM
decision-making
The concept of employee relations are one of the important forms of maintaining cordial
relationship in which employees of company work towards achieving common goals and
objectives (Abbajay, 2018). Burberry is concerned about its employees and relation
between them reflects in a way that organization works in a healthy and positive
environment both internally and externally. It is very beneficial for company to enhance its
relation more on grounds of achieving efficiency and productivity. This will not only
enable employees performance but will also raise the profitability standards of company in
its stages of growth and development.
Employee relations on the hand influences the HRM decision-making as the HR
management is totally and fully concerned about how well employees in Burberry are treated. If
there are disputes or conflicts which arises among employees it will directly affect the decision-
making processes of whole organization. Because the decision are directly or indirectly framed
for betterment of company's working procedures, therefore employee relations become an
important aspect (Sahoo and et.al., 2019).
Employee relations become influential aspect on HRM decision-making process as it
involves employee engagement which drives them by including points like -
 Sharing and reviewing employee expectations.
 Encouraging effective communications so that problems and issues are easily solved.
 Encouragement of discussions and thoughts of employees is enabled in company.
Employee productivity is increased by employee satisfaction. This is related to HRM
decision-making process in which it defines that if employees are satisfied by workplace
environment then it will eventually result in increase of their productivity. And employee
productivity directly is the linkage with employee engagement which concerns number of
employees working in Burberry business to make it flourish effectively.
The decision-making process largely is influenced by the employee relations which is
explained by considering employee engagement, employee productivity and employee
satisfaction factors (Hopman, Allegranzi and Mehtar, 2020).

Thus, employee relations influences HRM decision-making both on positive and negative
aspects as negative aspects include employee retention or employee turnover which largely
affects company as whole. HRM focuses on framing such practices which enables more
employee engagement and less number of turnover ratio in the company. Therefore, Burberry's
focus is on attracting more individuals by framing such work culture which makes them
comfortable and delivers productivity in their work. This encourages organization to grow and
develop on the forefront and excel on the scales of profitability and productivity to be effectively
and smoothly run.
P6. Defining key elements that are closely related to employment legislation and its impact in
HRM decision-making
There are some employment legislation acts which impacts HRM decision-making processes -
Health and Safety at Work, etc Act, 1974 — The basis of health and safety legislation
relating to workplace is Health and Safety at work, etc Act, 1974 (Athamena, Houhamdi and El
Refae, 2020). This sets the standard for health and safety at UK workplace. This act is also
known as HASAWA and HSW and most health and safety legislation is contained in it. In
HASAWA, employers are responsible for the health and safety of employees at the workplace.
The act contains the responsibilities of the organization towards its employees are -
 To provide and maintain safe systems at work.
 To provide health and safety training to employees.
 To have safe equipments in company.
 To ensure safe operations of the equipment.
 To provide PPE and other safety equipments to employees when necessary.
National Minimum Wage Act, 1998 — The National Minimum Wage Act, 1998 creates
minimum wage across UK. This act is applied to employees and employers. The hours define the
work which is done by employee or worker in the company. Minimum wage calculation is
dependent on work done. The principle of this act is that rate of pay for hours worked should not
fall below minimum. Section 10 permits employer, to issue production notice if the pay is below
National Minimum Wage.
Discrimination Act, 1975 — The discrimination act prohibits discrimination on grounds
of sex, race and disability of employees at the workplace (Corvino and et.al., 2017). This law

protects against discrimination done to employees in organization which includes dismissal, pay
and benefits, recruitment and training, employment terms and conditions, other than this,
employers and employees face major discrimination due to any disability they have. Thus, under
this discrimination act they can reach out to the legislation which will help them to not lose their
jobs in company.
Equality Act, 2010 — The Equality Act, 2010 legally protects employees and employers
from discrimination in organization or at workplace. The equality act at workplace consist of age
discrimination, race discrimination, religion discrimination, sexual orientation etc. The Equality
Act provides protection to employees for any discrimination done to them at the workplace. The
act helps in not facing any issue and problem to employees at workplace. This act also verifies
the employment legislation at the workplace which ensures safe working environment in
company (Zanella and Guda, 2020).
Thus, these acts impact HRM decision-making process of company in which HR
management ensures that these acts and regulations are properly followed under the employment
legislation so that Burberry provides safe working environment and employees do not face issues
regarding health and safety, discrimination being done to them or inequality.
P7. Analyse of application of different HRM Practices for work related setting
HRM practices in work context includes -
Job Description — Job description is denoted by what job holder is responsible for and
what individual is required to perform in job role.
Job Description for a Marketing Manager -
Job Title — Marketing Manager
Responsibilities and Activities -
 Works with marketing director and executive team to set marketing strategies for
business.
 Hires and manages public relations and creative staff.
 Analyses and researches marketing trends and competitors.
 Identifies marketing campaigns.
 Observes social media trends and techniques. Manages designing and production of promotional materials such as brochures and
websites (Officer, 2020).

Person Specification for the position of Marketing Manager -
Essential Skills and Experience -
 Minimum 1 year of experience in field of marketing.
 Excellent technical and numerical skills.
 Knowledge of segmentation and targeting in market field.
 Strong written and verbal communication skills.
 Effective problem — solving and analytical skills.
 Knowledge of computer Ability to analyse, execute and monitor campaigns.
Job Offer Letter -
Name — Mr. Sam Merchant
Address — 13, Valley Street, England
Date — 11/02/21
Dear Sir,
We are pleased to inform you that you have been selected on Amazon at a position of
Marketing Manager. We would appreciate if you put in your full efforts and contribute towards
growth and development of organization. Important details mentioned concerns the key
responsibilities and duties to be fulfilled successfully and salary status which will be 1 Lac per
month along with compensation and benefits offered. Working time will be from 9AM to 6PM.
We are delighted by offering you this letter to be approved and signed in order to start the job
from 1st May 2021.
Sincerely,
HR Team, Amazon
Evaluation of process for conducting HR practices -
The evaluation process for conducting HR practices consists of stages -
 Application for which candidates apply.

 The next step is screening and pre — selection which consist of phone screening and
selecting candidates.
 An interview session is held with candidate (Villena and Gioia, 2018).
 After this, assessment is done on basis of candidate's interview to reject out least
preferred candidate.
 Reference and background check of candidate is done.
 Decision is taken on basis of wholesome analysis.
 Job Offer and Contract is sent to eligible candidate.
This process is effective on terms that by fulfilling all these steps and stages of selection, it
reflects the effectiveness and efficiency of organization which contributes towards growth and
development. This process becomes effective in selecting the best candidates for the right job
role to be appointed at. Also, this ensures the candidates abilities and skills of passing this
process smoothly (Dickinson and Carey, 2017).
CONCLUSION
Thus, it is concluded from report that purpose and functions of HRM helped in knowing
Burberry's mission, purpose and business objectives. Strength and Weakness of different
approaches to recruitment and selection was analysed. Benefits of HRM practices for employer
and employee was explained. Effectiveness of HRM practices helped in raising organization's
profit and productivity. How importance of employee relations influenced HRM decision-
making was assisted. Key elements of employment legislation were explained along with its
impact on HRM decision-making. Application of HRM practices included Job Description,
Person Specification, Job Offer Letter and evaluation of process for conducting HR practices was
elaborated.

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