International Human Resource Management at Woolworths

This report analyzes the HR strategy, employee development, employee relations, and grievance handling, and employee training at Woolworths, an Australian retail chain. The report also includes the company's objective, current business performance, and comparison of Woolworths HRM practices with Wesfarmers HRM practices. The report concludes with recommendations to improve HRM of Woolworths.

Running head: INTERNATIONAL HUMAN RESOURCE MANAGEMENT 0
Woolworths
International Human Resource Management
(student name)
10-9-2018

INTERNATIONAL HUMAN RESOURCE MANAGEMENT 1
Contents
Introduction.....................................................................................................................................3
Woolworths Group......................................................................................................................3
Woolworth’s objective.............................................................................................................3
Current business performance of the company.......................................................................4
Woolworths Human Resource Management..................................................................................6
HR Strategies................................................................................................................................6
HR strategy for recruitment and selection of Woolworths.....................................................6
HR strategies for Manages Staff Performance and Engagement............................................6
HR strategies for identification and advancement of high performing employees................7
HR strategy for Employees safety............................................................................................7
HR strategies for retaining employees in the company..........................................................8
Employee development...............................................................................................................9
Employee relations and grievance handling..............................................................................10
Training......................................................................................................................................11
Wowlink.................................................................................................................................11
TAFE NSW..............................................................................................................................11
Management and leadership development..............................................................................12
Supermarket Retailing Certificate (level 2) - Countdown NZ....................................................12

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Apprenticeships.........................................................................................................................13
Fastrack......................................................................................................................................13
Conclusion......................................................................................................................................15
Comparison of Woolworths HRM practices with Wesfarmers HRM practices.........................16
Recommendation to improve HRM of Woolworths.................................................................17
References.....................................................................................................................................19

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Introduction
For the study of international human resource management, Woolworths, an Australian retail
chain case will be taken. For this purpose HR strategy, Employee development, employee
relations, and grievance handling, and employee training would be studied in this report.
Woolworths Group
Woolworths is a major Australian Company, established in 1924 in Sydney’s imperial arcade.
The company is serving a large number of customers extensively throughout Australia and New
Zealand. The group consists of the most recognizable brands; some of them are Delicious
nutritious, free from, gold, macro, essential, Apollo, voeu, little ones, smitten.
Woolworth’s objective: company goal is ‘to have Customers put us 1st, across all their brands.’
To achieve this strategy are made starting from an effective retail team that listens and
understands customers, suppliers, and team members. Daily feedback from the customers are
received through Voice of the customer programme through the brand, support office teams,
and the store teams to increase the shopping experience of customers (woolworthsgroup,
2018).

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Source: (woolworthsgroup, 2018)
Current business performance of the company includes three-core businesses part of the
company that is Australian food, New Zealand food, Endeavour drinks (woolworthsgroup,
2018). According to ‘Woolworth’s financial year 2017 report,’ the company gained $1.53 billion
profit for the year 2017. Among which 3.6% is from food sale that is nearly $1 billion
(news.com.au, 2018). First half year of 2018 profit went up to 37.6% to $969 million, where
food sale rose 4.9% (news.com.au, 2018).

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(Source: woolworthsgroup, 2018)
(Source: woolworthsgroup, 2018)

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Woolworths Human Resource Management
HR Strategies
For the business to be productive and successful, Human resource capital needs to be strong
enough because in the end its human mind which is leading a business (Kearns, 2010).
HR strategy for recruitment and selection of Woolworths
Woolworths believe in selecting and retaining the best employees in their organization for
various operations. Process for the best recruitment includes advertisement of vacancy online
where online applications can be collected. They treat all the applicants with consideration,
fairness, and courtesy and throughout the process, transparency is maintained, and the
company follows or abides by ‘Equal employment opportunity legislation’ and ‘Anti-
discrimination’. In order to ensure that the right individual is selected, the company recruits
people on basis of merit. Another significant aspect that the company follows, is working
according to the Privacy act while handling any personal information, which means no personal
information can leak through the company. Once the selection process is completed, an
orientation program is taken for the selected candidates to ensure that no time is wasted by a
new employee, for integrating into practices of the company.
HR strategies for Manages Staff Performance and Engagement
Woolworths has talent and performance management system, through which company’s
employee analysis based on current skills that they possess, required skills for the job, and after
analyzing the gap between both, future career ambitions are assessed. With this, the employee
can interact with the management for the purpose of filling gaps. This strategy’s objective is to

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increase job satisfaction and enhance employee participation among the employees. Moreover,
the talent management system is utilized in enhancing employee performance. The retail sector
is changing venture in today's world which leads Woolworths to be always ready for any
changes that may occur in the process (Shuck, 2014).
HR strategies for identification and advancement of high performing employees
Woolworths try to encourage great performance and rewarding for such performance. In this
aspect, managers of the company assess employees to identify the best performance in the
organization who is contributing extra to the business and did beyond scope and provision. To
encourage such performance of the company and motivating people to give their best and
enhance their performance, awards are given to on frequent occasions. Many different awards
are also given for extraordinary performance. Such an act makes all the employees engaged in
selecting who must be the winner. This recognition of a person makes them feel appreciated
for their extra efforts among coworkers. This will also encourage other employees to enhance
their work since it will increase the wish to achieve the same respect and award in the future. In
Woolworths, there are other awards for extraordinary performance that is annual CEO award
that is given best performing group and individual in the company. Such a great performance is
also awarded in form of promotion in the company by providing career development
opportunities (Bailey, 2018).
HR strategy for Employees safety
Woolworths is a concern for the safety of employees in some areas such as handlers of
electrical appliances, drivers, and store workers. The company had set some rules and
regulations in this regard; the process of performing in these specific departments will be

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governed according to these rules. Like drivers are not allowed to work beyond a speed limit, or
not allowed to work under drugs influence. With these rules, preventing accidents from
occurring can be made. Employees of the electrical department are required to use protective
gear; these are also for the contractors. The store is arranged in such a manner that it ensures
no harm to employees while roaming in the store. Such safety measures need to be considered
by every employee, every time. Woolworths guiding principles for safety includes, care for each
other actively; promote and celebrate company’s success; the individual is responsible for their
actions and decisions; illnesses and injuries must be prevented; no work is significant or urgent
that the safety is ignored.
Woolworths popular policy or this concern is ‘Destination ZERO’ means no harm to people, the
environment, and communities Woolworth’s serve.
HR strategies for retaining employees in the company
High labor turnovers in one of the major challenge, which Woolworths are dealt with. This
persuades managers to make a strategy for diminishing the rate of turnover, to retain skilled
and talented staff. There are many ways found for this concern, one of them is using the
provision of career development opportunities to encourage staff to continue working with the
company, by promoting employees according to ranks. Many benefits are offered to employees
like retirement funding, educational assistance through scholarships, and training, health care
plans, disability benefits including death and funeral, and discounts. Fitness center provision
and parental leave are some other benefits offered which enhance retention of employees in
Woolworths. The employee engagement will increase satisfaction among employees of their
job and ensure retention of employees.

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Employee development
 Woolworths held various training and development programs, in order to foster talent
and enhance employees with the skills needed to the extent their potential
 A rigorous regular assessment method is used to recognize and develop great-
performing employees to develop next-generation leaders for the company.
 Woolworths is registered as a private ‘Further Education and Training College (FET)’
along with the Unit of Higher Education.
 Tertiary funding is available for employees and their children only if they encounter the
company’s criteria.
 NQF training programme is offered to both internal and external trainees, collaborating
with leading tertiary institutions, and the SETAs.
 Woolworths is committed to transforming and outspread opportunities to employees
from underprivileged backgrounds.
 Local and International conferences take place regularly, with both internal and external
tutoring and mentoring (woolworths.co.za, 2018).
 Woolworths growth academy cape town, launch a project in 2010. It was a career
development initiative for 12-18 months. Internal and external graduates that are
underemployed or unemployed. The selected candidates among them were given the
opportunity to gain work experience at Woolworths and provide them with a certificate
of an executive education from ‘University of Stellenbosch Business School Executive
Development Ltd (USB-ED).’ SETA and Woolworths were co-founders of this project. The

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trainees in this academy are trained by experts from leading industry and are authorized
to create real-life challenges solution of organizations (humancapitalreview, 2007).
Employee relations and grievance handling
The grievance is a feeling of dissatisfaction or unfear that an employee experience about
management procedure, or other employee behavior or job and its nature. This must be
brought to the notice of the HR, management, and organization by the employee. Management
can adopt some approaches to handle such grievances, such as Quick action, acknowledgment
grievance, gathering facts, examining the causes of grievance, decisions, execution, and review
(managementstudyguide, 2018).
Source: (managementstudyguide, 2018)

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Woolworths has provided certain policies and code for employees to ensure healthy and safe
work environment.
‘Doing the right’ company code of conduct include policies related to appropriate workplace
behavior. This means the company is responsible to maintain a fair-working environment
where everyone is treated with courtesy, respect, and dignity. This involves a respectable
behavior of employees and behavior that do not conduct harassment, discrimination, and
bullying. According to this code, employees are expected to:
An employee can contact their line manager or Human resource representative if any sought of
unlawful harassment, discrimination, and bullying is experienced; do not victimize or making
anyone in the position of disadvantage by making a complaint; anything discussed during the
investigation must be kept confidential and complaint must be an honest act
(woolworthsgroup, 2016).
Training
Wowlink
Woolworth’s online training center that provided various guides that can be studied online or
can be downloaded. These include local administrator guides and reporting guides. Many
modules for self-training are provided for enhancing knowledge of employees (wowlink, 2018).
TAFE NSW
Quality is the main concern for the Woolworths, which realize the need for quality training for
their current staff. It is significant for company success. Woolworths collaborate with TAFE NSW
for a development program to enhance training capabilities. Most suitable training approach

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for Woolworths is advised by TAFE. Federal funding was secure through Productivity placement
program for up-skilling of individuals. A tailored training program was provided by TAFE, which
helps in meeting requirements of Central Coast staff, also staff from Newcastle, mid-north
coast, the hunter, Sydney, and Lake Macquarie for obtaining ‘certificate in training and
assessment.’ TAFE training understands Woolworth's training environment and makes sure that
the training course was easily understood, relevant and contextualized. Training participants
agreed that the sessions conducted were exceeding expectations, and practices of appraisal in
Woolworths reinforcement were valuable (hunter.tafensw, 2018).
Management and leadership development
For assistance of Woolworth’s employee to become future management and leadership and
develop once, reach that position. A range of management, personal and leadership
development learnings are supported to individuals of the company. The strong personal
development process is provided in which employees are engaged in setting goals, receive
performance feedback and career planning with Woolworths. Job opportunities for company’s
employees are created for their work on complete job reliefs, business projects, and share best
practices with all Woolworths brand. The training program aims to give the required support to
the individual to control their careers and be successful with Woolworths (wowcareers, 2018).
Supermarket Retailing Certificate (level 2) - Countdown NZ
In Woolworth’s supermarket, as and when new employees started working it is essential to
make sure they have the required skills and knowledge to make it successful. Every new
employee of Woolworth’s supermarket, are provided Supermarket Retailing Level 2 as part of

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his or her training. To increase retail skills, more than 1000 company’s employees have signed
throughout the country. This training program is an interactive online learning program that
considers topics like safety, customer service, product learning and loss prevention to legal
matters. Existing skills of employees can be polished with this program (wowcareers, 2018).
Apprenticeships
This program gives an opportunity to earn while learning, in supermarket division of
Woolworths, one can gain trade qualification that is nationally recognized in the bakery. With
the combination of one the job training at a supermarket in Woolworths, and off the job
training at TAFE college this training is completed in three or four years. For those who are
interested in setting their career as a baker in Woolworths, an apprenticeship program was a
great opportunity. The learning areas covered in these programs are baking bread, food safety
and sanitation, and time management and using resources effectively. Bakery apprenticeship
prepares an individual with further advancement with Woolworths. The offered positions after
completion are store manager or supermarket bakery manager or other managers position. An
existing employee of this company can reach to HR specialist or store manager for these
opportunities (wowcareers, 2018).
Fastrack
This training program was initiated for operational department employees of distribution and
store centers. This program focus o to build skilled retailers and consider the diversity of
thinking and experience across multiple brands. Identification and development of talent for
leadership and management roles in the near future is the main emphasis for this program.

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Applications are for limited employees of Woolworths in New Zealand and Australia. Either
manager nominates applications or employees can nominate themselves for this training
program. Applicants those are successful are selected for company’s future site managers,
store managers, and area managers based on their motivation and capability (wowcareers,
2018).

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Conclusion
From the above discussion, the report can be concluded, that human resource management is a
challenging aspect in an organization, for this aspect to understand, Woolworths Group was
selected. Human resource functions and development is very strong of Woolworths. The
human resource strategies of the company include strategies for recruitment and selection of
Woolworths; Manages Staff Performance and Engagement; identification and advancement of
high performing employees; Employees safety; retaining employees in the company.
Woolworth also considers training and Employee development through various programs and
training centers. For effective employee relations and prevent conflicts, a code of conduct,
‘doing things right’ is created for employees that must be followed.

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(Source: woolworthsgroup, 2018)

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Source: (Recker, 2013)
Comparison of Woolworths HRM practices with Wesfarmers HRM practices
In this report, HR strategies of Woolworths were discussed in detail. Those strategies are quite
different from those of Wesfarmers. Wesfarmers was established in 1914, headquarters are in
Perth, Western Australia. Its Human resource strategies consist of increasing employees and for
that, the company grows their business and introduce British executives to the company. This
will bring new office culture in the company. For growth, the company renewed investment in
value, create strong supplier relations, introduce new brand design, investment in team
members, better and bigger new stores. To achieve this growth, the required skills were added
to the human resource. The company provides many benefits to the employees, like allocation
of Wesfarmers shares, employees are involved in annual incentive plan, education assistance,
opportunities to sacrifice salaries, employee assistance programs, discount provision for
Wesfarmers Arts tickets and many more to encourage employees for improved performance
(bohatala, 2018).

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Recommendation to improve HRM of Woolworths
 Offer salaries according to competitive companies, in order to attract employees that
are more talented and retain existing.
 Increase the number of avenues, for advertising job vacancies so that a large number of
employees are approachable and the number of the applicant will increase.
 Optimum utilization of skills of an employee, this can be done by clearly defined job
description.
 Transformational leadership must be adopted to make sure that they are able to
develop people they are liable to manage and harness employees talent.
 HRM department must improve ways of motivation, other than monetary motivation;
they can also adopt many non-monetary benefits to motivate employees.
 Leaders and managers of the organization must be provided training through the HRM
department on how to motivate and coach the employees.
 The incentive should be increased for the employees such as better parking, lunches and
more. This can encourage employees to be committed and loyal towards their work and
company.
 Performance management system of Woolworths is quite underdeveloped; an effective
performance appraisal system must be implemented semiannually or annually.
 For better training program planning, talent management program must be combined
with the appraisal system. It means that the training and development programs should
depend on the gap identified in the appraisal system by the HRM department.

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References
Bailey, C., 2018. Strategic human resource management. s.l.:Oxford University Press,.
bohatala, 2018. Wesfarmers Strategic Management Project Report. [Online]
Available at: https://bohatala.com/wesfarmers-strategic-management-project-report/
humancapitalreview, 2007. Woolworths Growth Academy: Developing Local Retail Skills.
[Online]
Available at: http://www.humancapitalreview.org/content/default.asp?Article_ID=976
hunter.tafensw, 2018. Ongoing training critical to Woolworths staff. [Online]
Available at: http://www.hunter.tafensw.edu.au/about-us/casestudies/pages/ongoing-training-
critical-to-woolworths-staff.aspx
Kearns, P., 2010. HR strategy.. New York ed. s.l.:Routledge.
managementstudyguide, 2018. Employee Grievance - Effective Ways of Handling Grievance.
[Online]
Available at: https://www.managementstudyguide.com/methods-of-training-employees-at-
workplace.htm
news.com.au, 2018. Woolworths half-year profit up 37.6 per cent. [Online]
Available at: https://www.news.com.au/finance/business/retail/woolworths-halfyear-profit-up-
376-per-cent/news-story/120347ae2a14d5be05b31581f07bb30b

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news.com.au, 2018. Woolworths reports full-year profit of $1.53 billion. [Online]
Available at: https://www.news.com.au/finance/business/retail/woolworths-reports-fullyear-
profit-of-153-billion/news-story/1b8b3fe2d88e51585a9a29fcc42594fb
Recker, J., 2013. The Effect of Strategic Human Resource Management on Organizational
Performance: The Mediating Role of High & Performance Human Resource Practices. Human
Resource Management,, 52(6), pp. 899-921.
Shuck, B., 2014. Employee engagement and well-being: A moderation model and implications
for practice. Journal of Leadership & Organizational Studies, 21(1), pp. 43-58.
woolworths.co.za, 2018. Development opportunities. [Online]
Available at: https://www.woolworths.co.za/recipe/_/A-cmp100617
woolworthsgroup, 2016. DOING THE RIGHT THING. [Online]
Available at: https://www.woolworthsgroup.com.au/content/Document/Dec%202016_Code
%20of%20Conduct.pdf
woolworthsgroup, 2018. Our Businesses. [Online]
Available at: https://www.woolworthsgroup.com.au/page/about-us/our-brands/
woolworthsgroup, 2018. Strategy and Objectives. [Online]
Available at: https://www.woolworthsgroup.com.au/page/about-us/our-approach/strategy-
and-objectives/
wowcareers, 2018. Training. [Online]
Available at: https://www.wowcareers.com.au/page/Careers/Develop_your_career/Training/

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wowlink, 2018. Training center. [Online]
Available at: https://www.wowlink.com.au/wps/portal/get_started?
WCM_GLOBAL_CONTEXT=/cmgt/wcm/connect/Content%20Library%20-%20WOWLink/
WOWLink/Getting%20Started/wowlinkSupportCentre/TrainingCentre