Value and Contribution to Organizational

This document discusses the value and contribution of organizational design, different approaches for attracting and rewarding human resources, and the impact of HR developments on the role of HR function. It provides insights into the importance of organizational design, application of theories, and various approaches used for attracting and motivating employees. It also evaluates the impact of HR developments on the role of HR function and discusses emerging trends in HR. The document is based on Tesco Plc, a retail company in the UK.

Value and Contribution to Organizational

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
L O 1................................................................................................................................................3
Evaluation of the importance of organizational design...............................................................3
Application of the theories of organizational design...................................................................4
L O 2................................................................................................................................................6
Different approaches used for attracting and rewarding human resource. .................................6
Critical analysis of approaches to motivation..............................................................................7
Recommendation and Justification..............................................................................................8
L O 3................................................................................................................................................8
Evaluate how HR developments affect role of HR function.......................................................8
PART 2 .........................................................................................................................................10
Responding to change management...........................................................................................10
Relationship between change management and organizational design.....................................12
Different types of changes.........................................................................................................12
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................13

INTRODUCTION
Human resource management is defined as the method for managing human resource
effectively in an organization such that they help the company to gain competitive advantage. It
is designed to improve the performance of employees for achieving strategic objectives of the
business (Noe and et.al, 2017). The Report is based on Tesco Plc. It is a general merchandise and
groceries firm that belongs to retail industry. Headquarter of the company is located in England,
UK. It offers a wide range of products through hypermarket, supermarket, superstore and
convenience shops. The Report will outline the value of organizational design, different
techniques for attracting and motivating individuals and teams. It will also describe emerging
developments in human resource management etc.
MAIN BODY
PART 1
L O 1
Evaluation of the importance of organizational design.
Organizational design -
The term organizational design is defined as the procedure of integrating the structure of
the firm with its objectives with an ultimate objective of improving the effectiveness and
efficiency. The process also involves understanding the need for change and also understanding
the role and responsibilities, activity analysis, volumes of work and resources. It also include the
development of new structures and models, managing and planning the transition from old
structure to new structure etc.
Importance of organizational design -
The organizational design of Tesco plays an important role in delivering sustainable
performance.
Dealing with contingencies: Contingency means a situation or event that happen without
expectation and management of the firm should develop appropriate plans for meeting such
contingencies. The organization design of Tesco will determine how efficiently it controls
different factors that are existing in the environment. The ability of the management to attract
skilled workers, permanent clients are the examples of the extent to which it can control the
environmental factors (Leih, Linden and Teece, 2015).
Competitive advantage:

In the modern age every firm wants to design the structure in such a manner that it have
sustained competitive advantage. The method used by Tesco in designing an organizational
structure is important factor while implementing organization strategy.
Diversity in workforce:
Diversity in employees exists due to gender, race of workers that has an important impact
on the effectiveness of company. The structure of Tesco is designed in such a manner that it
helps to make optimum utilization of the diverse workers with different cultural backgrounds.
The structure of company determines what actions are optimal for effective
implementation of the organization strategy. Further, organizational design also play a major role
in gaining consensus for the strategy. It helps in gaining consensus because it assists the firm in
determining who has to be appeased in management and how the authority should be aligned.
Application of the theories of organizational design.
Management of Tesco is required to make choice regarding how to group individuals
together to perform their work. There are five common approaches that helps manager of Tesco
to determine the grouping of department. Different approaches combines various elements of
organization structures. There are various theories related with organizational design and these
are described below -
Traditional designs:
Functional structure -
This type of structure is used by firms to organize the workers. Under this approach,
employees are grouped on the basis of their knowledge and skills. It structures every department
with the roles from president to sales and finance department, to customer service. Employees
are assigned to one product or service (Fuller, 2019).
Advantage:
It defines well appropriate channels of authority and communication. Not only it will help
Tesco to improve productivity but it will also help to make workers comfortable and simplify the
process of training as well.
Disadvantage:
This type of design may result into narrowed perspective because of the separateness of
various departments work groups. Under this, communication and decisions may take place in
slow manner.

Divisional structure -
The managers of large scale organizations have difficulties in tracking all the products
and activities of firm due to which it is necessary to create specialized departments. Under this
model, the departments are being divided on the basis of the ultimate output. For Example –
Departments developed to differentiate on the basis of customer service, production and
geographical territories.
Benefits:
This type of organizational design will help Tesco to monitor the performance of workers
easily. Therefore, this structure is very flexible and responsive to change.
Limitations:
There may arise the possibility of the competition among the divisions due to limited
availability of the resources.
Network structure -
This type of structure depends upon other firms to perform important functions on the
basis of contract. It can be said that management can contract out particular tasks to the
specialists.
Advantages:
It will offer Tesco the flexibility and also help to minimize the cost of overheads because
operations and size of staff get reduced (Fairfield, 2016).
Disadvantages:
It may result into lack of control and unpredictability of supply because management
relies on contractual employees to perform major tasks.
Contemporary designs:
Matrix structure -
It combines divisional structure with functional specialization. It uses permanent cross
functional teams to link divisional focus with functional expertise.
Advantages:
It will promote problem solving and cooperation among the employees of firm.
Disadvantages:
` The members of the matrix may have to face confusion in tasks when taking directions
from more than one boss.

Team structure -
This structure separates functions into a specific group on the basis of a common
objective. The objective is to divide functional barriers into different departments and developing
better relationship for resolving problems.
Benefits:
It will assist Tesco to break down the interdepartmental barriers. Moreover, it also helps to
motivate employees.
Limitations:
One of the major disadvantage is that there may arise issues related with time
management (Sahay, 2017).
L O 2
Different approaches used for attracting and rewarding human resource.
There are various methods that can be used by human resource manager of Tesco for
attracting, rewarding and developing human resource of the firm that helps to develop dedicated
and skilled staff. These approaches are described below -
Approaches of recruiting workers -
Campus recruiting:
It is defined as the process used by organization in which management undertakes an
organized programme for hiring and attracting students who are about to graduate from
universities and colleges. Tesco may use this approach for attracting skilled candidates by
conducting seminars and workshops in various colleges to showcase the firm and carreer
opportunities that are available to candidates.
Organize competitions:
Digital media has become an important source for finding jobs today. Tesco may
organize talent hunt programmes for professionals and students that will motivate them to
participate and display their skills. For Example- Tesco may organize a competition in which
individuals will get chance to act as managers throughout the competition.
Social media recruiting:
Human resource department should remain active on social media to attract skilled and
talented people. They should search and motivate potential individuals to apply for the vacant

job positions in the company. Further, manager of Tesco should use LinkedIn to search potential
recruits (Merrick, Fry and Busby Grant, 2017).
Approaches for developing human resource -
There are various methods that can be adopted by the management of Tesco for developing
human resource. These are as follows -
Performance appraisal methods:
It is defined as reviewing the job performance of workers on regular basis and overall
contribution of employees to the organization. It is also called employee appraisal, performance
review etc.
Employee training programmes:
The term employee training refers to the program that is designed to improve technical
skills, value creation, and efficiency of the employees or performing any type of work. Tesco
should use methods like on the job and off the job for providing training to workers.
Employee career planning:
Career planning refers to the process through which an individual selects path and career
goals to these goals. The focus of career planning is to support the employees to attain balance
between the opportunities and personal goals that are available in the business.
Approaches for rewarding employees -
Peer recognition: Human resource department of Tesco should recognize the efforts made by
workers to complete the assigned task.
Flexible working hours: Company should provide flexible working hours to the workers such
as working from home etc. Allowing the employees to have the ability to set own hours of
working is the way in which firm can improve the morale of workers (Wazed and Ng, 2015).
Critical analysis of approaches to motivation.
The approaches of attracting human resource has own advantage and disadvantage. One
of the major advantage of campus recruitment is that it helps to strengthen the brand image of the
organization and also brings quick learners who are adaptable to manage. Major disadvantage is
that firm has to incur huge amount of funds. Social media platforms helps business to minimize
the time of recruiting new candidates. Major limitation is that there is the possibility of biasness.
The advantage of performance appraisal methods is that it provides a structure to management
for discussing the performance of workers. Main limitation is that performance appraisal is very

time-consuming method. Employee training programmes help to improve the skills and abilities
of employees. Major disadvantage of these programmes is that when workers get trained there is
the possibility that they will jump to another firm which is offering good salary and perks.
Employees peer recognition helps to improve the level of productivity of employees (Buettner
and Timm, 2018). It also assists management to align employees to the overall mission of the
firm. One of the major limitation is that it may create an environment in which favouritism is
perceived.
Recommendation and Justification.
On the basis of the above approaches it is recommended that Tesco should adopt
divisional structure because it helps to improve the ability of firm to respond towards the
changes in local market and it is an easy process to in modifying the size of the business by only
removing or adding the divisions. Moreover, this approach will help Tesco to improve the ability
of individuals by improving the ability in coordinating the activities among different
departments.
It has been recommended that management of Tesco should adopt the approach of using
social media for attracting candidates to apply for vacant job positions. This will help to attract
high quality candidates, reduces the cost of hiring employees etc.
L O 3
Evaluate how HR developments affect role of HR function.
In order to overcome different types of challenges, management should ensure that their
employees are updated with the required expertise and skills. There are various trends emerging
in the field of HR that will influence the role of human resource functions in different ways.
These are described below -
Artificial Intelligence will make easy the complex operations related with human resource -
The technology of artificial intelligence has modified the process on hiring, recruiting
and on boarding. This has resulted into an improvement in the internal workflow that will help to
save the working time of the professionals working in human resource department. Further,
manager of Tesco may also search advanced approaches for new development, and they will be
able to focus more on important work such as developing better relationship with the employees
(Rothwell and et.al, 2015).

Chatboats are very supportive tool for human resource department. This will help to reduce
multiple tasks and activities such as learning FAQ's, automating the responses that will assist
management to minimize the time of professionals working in human resource department to
spend their time in responding and reviewing to the requests of employees.
Artificial intelligence is redesigning the standard business of human resource model by
automating nearly each and every process and activities. This cognitive computing technology
offers an excellent opportunity for all HR leaders to have focus on improving the learning and
development aspects in the company. Further, it will also help to improve strategies related with
employee well-being while maintaining the relationship with workers intact.
Investment in well-being of workers will still be on top -
Employees can be affected by different levels of stress that involves social, physical and
mental. Firms are looking for various ways to help employees to cope up with stress level, issues
and ultimately remain happy in their life. New trends suggests that, Tesco should prioritize the
well-being of employees as a major part of the overall business strategy. Firm should invest more
on innovative programmes that help to promote employee well-being that involves financial
wellness, mental health, healthy food habits, managing stress etc. It plays an important role in
improving the level of employee engagement and also helps to promote healthy workplace
culture (Loretto and Vickerstaff, 2015).
Talent must be skilled for future roles -
Being the major drivers of automation, Fourth Industrial Revolution, and artificial
intelligence, all these things has reduced the requirement of physical labour and also creates the
fear of job insecurity among workers. Human resource department of Tesco is required to
prepare their employees for this new future. Human resource manager of the firm have to focus
on developing the career of employees with the help of learning and development, training
facilities, support and guidance that will help to improve skills and knowledge of the workers.
Strategic thinking will become in house new core competence of HR department -
The leaner version of human resource that remains will require to reposition itself as a
strategic partner within the firm. Human resource manager of Tesco should have ability to make
correct projections on the basis of understanding the goals of the company and also using the
metrics that explain more than lagging indicators.
HR will require becoming more like marketing -

The process of recruiting workers will be become more like the functioning of marketing.
According to various experts, it is essential that human resource manager of the firm should
think like marketers, and they must expand their functions beyond the process of recruiting.
Human resource department must be involved into internal marketing role, brand ownership,
social marketing coordination and brand ownership etc (Russell and Norvig, 2016).
Conclusion:
It has been concluded that human resource department of Tesco should be up to date with
the latest developments and trends that are prevailing in the market. It should also ensure that the
workforce of the firm is having adequate skills to handle upcoming business challenges. Further,
the implementation of automation and artificial intelligence will support Tesco to grow and gain
financial benefits (Angrave and Charlwood, 2015).
PART 2

LO4: Value and Contribution to Organizational
Responding to change management.
Change management -
It is defined as the systematic method to deal with the transformation
or transition of the processes, goals and technologies of the company. The
major purpose of managing change is to implement the strategies for
controlling, effecting change and also helping individuals to adapt to these
changes.
The role and responsibilities of the employees get changed for
implementing a specific change. For example – If there is a change in the
process of developing goods in that case, there will be change in the role and
responsibilities of people that are working at different levels of the
organization. Such as top, middle and lower level of management.
To plan and execute the change in the organization, management of Tesco will
adopt Kurt Lewin model for managing change.
Kurt Lewin Change Management Model:
The model was developed by Kurt Lewin in year 1950.
The model assumes that change will encounter resistance.
Therefore, executing the change without appropriate planning
will result into failure.
Tesco should start with unfreezing to make sure that members
of firm are receptive to change. This will be followed by
change. Finally at the stage of refreezing management will
ensure that change will become permanent.
Lewin's three stage model for change -
Unfreeze :
Many efforts of the people fail because they are not
prepared well for the change. When workers are not
prepared, they will resist to the change efforts. For proper
change management that is for implementing change in
technology, it is the responsibility of Leader of the firm to
communicate overall plan of change to workers.
When employees will come to know about the potential
change in that case, they will become more comfortable in
adapting the change. For management of change there will
be change in the design of organization and it is the
responsibility of top management to discuss the
importance of implementing change with the employees.
For Example- While implementing new tools and
techniques of production, management will conduct
meeting to describe the change in role, responsibilities of
the employees, who will report to whom etc.
Change : It is the second stage of the model. Under this phase, Tesco will
implement the planned changes in structure, technology, procedure for
developing products etc. It specifies of how change will be implemented will
depends upon the form of change. At this stage, employees may experience
high level of stress. Leader and manager of Tesco are responsible for
supporting workers to cope up with the stress by displaying patience,
support and continuous assistance even after change in technology is
implemented. While implementing the change different barriers will emerge
like issues related with structure that is change in role and responsibilities,
organization culture, existing process etc. It is the duty of management to
understand, determine and remove the barriers.
Refreeze: After the implementation of change the long term success and
growth of the company depends upon the level up to which the change will
become the part of organization culture. To refreeze the change,
management will have to reward change adoption. The manager of Tesco
will have to provide financial and non-financial rewards to the employees
that has contributed in implementing the technological change in the process
of production.
Relationship between change management and
organizational design.
The process of transformation should define the strategy and
setting targets to implement and design that affect the different

CONCLUSION
The above Report has outlined that the term organizational design means the procedure
that involves understanding the need for change and also understanding the role and
responsibilities, activity analysis, volumes of work and resources. It plays an important role in
dealing with contingencies, improving diversity in workforce etc. There are various methods in
which Tesco can attract employees such as using social media etc. It has been concluded that
artificial intelligence and technology will make the working of human resource department more
complex.
change and organizational design. Long term
transformation in the structure has different characteristics
such as magnitude, duration, scale and strategic
importance. Any type of major transformation involves
people related issues. New leaders will asked to step up,
there will be change in the jobs, new skills and capabilities
should be developed and it is possible that employees will
resist. Executive team of Tesco is responsible for working
together for the success of firm. They must be committed
towards the change in structure, design, culture of the
firm. These teams are aligned and committed towards the
change that can model those changes themselves.
for communicating the change in the
in the technology can influence the
almost assure and this is a drop in th
managing transition from one place
important in reducing the risks. The
design is directed at reshaping and ass
company that include methods, proces
Tesco to support the flow of work
mission of company. The methods sh
Lewin change management model fo
achieve an integrated system of pract
processes etc that will help to de
consistent manner and complete way.
Psychological change -
It is well-known that context influences the
behaviour of workers in different ways. The number and
quality of social connections of the employees also
influences the behaviour of people working in the
organization. In order to achieve the change in behaviour of
workers the management should support the employees
during the process of change. Change involves
psychological capital, ability, motivation and supporting
environment etc.

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