Human Resource Management Report: Adidas Case Study Analysis

This report provides a comprehensive analysis of Human Resource Management (HRM) practices within the Adidas company. It begins with an introduction to HRM and a comparison between HRM and personnel management, followed by a discussion of HRM functions such as training and development, performance management, recruitment, and employee motivation. The report then evaluates the role and responsibilities of line managers in HRM, emphasizing their involvement in employee engagement, performance appraisals, and training sessions. Furthermore, it analyzes the impact of legal and regulatory frameworks on HRM, including the Equal Pay Act and the Sex Discrimination Act. The report also examines the reasons for HR planning in organizations, the stages involved in planning human resource requirements, and a comparison of recruitment processes. It assesses the link between motivational theory and rewards, job evaluation, and the effectiveness of reward systems. Finally, the report addresses employment cessation, exit procedures, and the impact of legal frameworks on such arrangements.

HUMAN RESOURCE
MANAGEMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Difference among Human resource management and personnel management................1
1.2 Function of human resource management........................................................................2
1.3 Evaluating the role and responsibilities of line manager in HRM...................................4
1.4 Analysing the impact of legal and regulatory framework on HRM.................................5
TASK 2............................................................................................................................................5
2.1 Analyse the reasons for HR planning in organisations....................................................5
2.2 Outline the stages involved in planning human resource requirements...........................6
2.3 Comparison on recruitment process in two organisations................................................8
2.4 Evaluate the effectiveness of the recruitment and selection techniques in two firms......9
TASK 3..........................................................................................................................................10
3.1 Assessing the link between motivational theory and reward.........................................10
3.2 Process of job evaluation and other factors determining pay.........................................12
3.3 Assessing the effectiveness of reward system in different contexts...............................13
3.4 Examine the methods organisations used to monitor employee performance...............14
TASK 4..........................................................................................................................................15
4.1 Identification the reason for cessation of employment with the company.....................15
4.2 Description on employment exit procedure...................................................................15
4.3 Considered the impact of legal and regulatory framework on employment cessation
arrangements.........................................................................................................................16
Reflective Statement D1 and D3....................................................................................................16
CONCLUSION .............................................................................................................................17
REFERENCES..............................................................................................................................18

INTRODUCTION
The Human resource management is the most significant which is prevailing and
spreading within the organisation. It is a managerial system that always tried to attaining the
organisational objectives to the capabilities and potentiality of their employees. It plays a vital
role in forming the association and also takes responsibilities to assist the individuals in their
work. Therefore, an effective human resource helps company in put together a better team
work within the organisation. The present research report is in the context of Adidas sports
wear and equipment Company adopts the various HR practices in motivating, managing,
developing and influences its employees. In this assignment there will be a discussion on the
difference among the personnel management and human resource management. Further, there
will be also covering each aspects of human resource planning and employment legislation. It
will be also studied on the motivational theories to retain the employee within the
organisation.
TASK 1
1.1 Difference among Human resource management and personnel management
The main distinguish among the Human resource management and personnel
management lies in its orientation and scope. It will be further discussed below:-
Approach
 The personnel management approach are mainly concerned to the customs, norms and
developed practices. It also considering itself with procedures, policies, contracts and
rules to enforce compliance. The approach holds satisfaction level of employees to
motivate them through bonuses, institutes compensation and rewards etc. Whereas,
the Human resource management approach tends to attach and give more importance
to mission and values. The rules are based upon the organisation's needs and it is
mainly concerned with the employee satisfaction by improves its work performance.
For this, it implementing strategies that includes provide work challenges, improve
motivation and team work etc.
Scope
 The scope of personnel management is limited as they manipulated the workers
according the core competencies of the company (Thunnissen and et.al., 2013). It
involves functional activities that are recruitment, job analysis, manpower planning,
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performance appraisal, trading administration and payroll administration etc. on the
other hand, Human resource management scope is wider it is mainly focused on the
manpower and give them an opportunity to enhance career growth. It includes
activities are motivation, training and development, develop organisational culture,
leadership, consider employee's participation and their productivity etc.
Decisions
 Under the personnel management, the decision made in this management through the
upper level management according to the organisation's rules and regulation. On
contrast, the Human resource management decisions are made after consideration of
participation of employees, competitive environment, decentralization and authority
etc.
Nature
 The personnel management nature is a reactive as it takes reaction to the fluctuation in
corporate strategy and it is also concerned with the reactive performance appraisals
procedure. Beside this, the human resource management nature is proactive as it used
approach to align the employee against attainment of organisation's goals and
objectives.
1.2 Function of human resource management
Each and every firm of human resource management performs various functions and
activities that helps in contributing towards the organisation's purpose (Brown and Posner,
2017). In regard to this, Sports wear Company's HR manager perform several functions that it
will be described below:-
 Training and development:- It is one the most essential function of HR manager for
the aim of developing knowledge, potentiality and skills of manpower. It can be
possible through provide them an effective training due to which it becomes more
skilled labour in the workplace. The HR department of Adidas limited trained their
employee on monthly basis by identifying their needs of skills. The firm adopts
several methods of training that mainly includes e-learning, internship training,
professional training, case study (Jabbour and et.al., 2013). It will help the individuals
in establishing their core competencies due to which their potentiality increased
towards their job role. Apart from this, the other aim for training and development is
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to make optimum utilization of resources which helps the company in maximizing its
net turnover.
 Performance Management: The main purpose of performance management function
of Human resource manager is to measure employees performance. HR manger of the
company evaluate employees performance on regular basis to motivate them by
giving increments, rewards etc.
 Recruitment and selection:- It is one of the significant function of human resource
management in which they hiring the skilled people in the workforce for attaining the
firm's goals. It is the process of staffing the candidates among the number of
applicants received through screening and then short-listing the more capable people.
There are majorly two type of recruitment approaches are internal and external source.
In the internal source firm fill the vacant position by promoting or transferring the
existing employee from internally (Brown and Posner, 2017). Further, the external
source of recruitment usually a lengthy procedure that require to advertisement job
description into the newspaper, television etc. Therefore, the Adidas firm adopts the
external recruitment approach to pool out the fresh and talented applicants that brings
new ideas, skills and knowledge etc. The main purpose of recruitment function of HR
manager to increase the overall organisation's productivity by put the skilled
workforce in the company.
 Administration: The companies HR manager focuses on monitoring, the proper
functioning of operation with the firm.
 Organisational Culture: The companies' manager also keeps a check over attitude and
behaviour of staff members towards works and its co workers.
 Employee motivation:- It is that function of human resource management in which it
increases the satisfaction level of employees by motivational factors. It can be
possible through offer them an incentive plans, bonus, holiday and sick leave,
increment in salary, job security and adopts safety measures etc. This function
contributing in the organisation for retaining the employees and also maintaining
employee relationship. In regard to this, The Adidas sport wear company improves
motivation of workers by adopting Herzberg two factor theory. In this it categorised
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the individuals into two factor hygiene and motivation so, they can motivate both
satisfy and dissatisfy staff workers (Jabbour and et.al. 2013).
 Business Environment: To ensure stable working environment HR manager focuses
on maintaining employees relation within the organisation.
 Health and Safety: Manager plays a major role in ensuring workers health and safety
at work environment. It is the major duty of HR to ensure that company is following
all the health and safety practices which are mentioned in firm's policies.
1.3 Evaluating the role and responsibilities of line manager in HRM
A line manager is that person who maintain the other individuals and also the business
operations within the organisation. It plays a vital role for this they carry out their
responsibility in managing the human resource for the achievement of firm's goals. They
actively involve in daily routine activities that directly influencing the employee satisfaction
and customer satisfaction. The Adidas company's line manager perform their roles and
responsibility towards the HR department that will be described as below:-
 Employee engagement: The HR manager mainly determine employee engagement
by survey but it is generated through the line manager. In the organisation they
supervised its staff workers by focused on their strengths and encourage them for the
employee engagement. It will also focus on the negative aspects of manpower within
the firm on the basis of their work performance.
 Performance appraisal: The line manager performing their roles and responsibilities
in performance appraisal procedures as it is mainly designed by the HR professionals
but it will be implement by line manager (Brown and Posner, 2017). They line of
manager of cited Company assessed the employee behaviour and performance and
rank them accordingly. For this they conduct meeting in which they get feedback from
employees if it is effective then it will be conveyed in understandable manner.
 Conduct training sessions: The role and responsibility of line manager towards the
human resource management is to develop, manage and lead the employees within the
organisation. For this, they also participate in conducting training session by analysing
the needs of training in employees as per the requirement of an organisation for a
performing a job role (Chelladurai and et.al., 2017). It gives invitation to their
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employee for the participants and make necessary arrangement to ensure that the
training will be conducted in effective manner.
1.4 Analysing the impact of legal and regulatory framework on HRM
Employment legislation is one of the most important aspects that are needed to
consider to make sure that each individual get an equal employment opportunities and protect
against discrimination. It provides a minimum standard through which HR department
formulate HR strategies in the workplace (Brown and Posner, 2017). The Adidas sports wear
company consider legal and regulatory framework that impacts on the HR department. It will
be further described that are mentioned below:-
Equal pay act 1970:- It is a that element of employment legislation in which it
protects the employee against discrimination on the basis of sex, gender, race, physical
disability and nationality origin etc. The equal pay act 1970 ensure that every individuals in
the organisation get an equal pay for a same level of job position. It will be based upon their
work experience, qualification, skills and capabilities (Brooks And Nafukho, 2006). It directly
impacts on the HR decision in which it formulating pay structure on the basis of terms and
conditions under this act.
Sex discrimination act 1995: This act come into existence in order to facilitate all the
needs and expectations of all people in a society. An employer is required to use this
particular act in their business and recruitment practices as the motive of this particular act is
to safeguard the interest of all the employees working in an entity. Discrimination will be
prohibited by a manager of a business concern as biases created by an employer will be
abolished as this will lead to create conflict in the organisation among all the users of a
business.
TASK 2
2.1 Analyse the reasons for HR planning in organisations
Human resource planning is the procedure used by HR to make sure that the number
of individuals with essential skills made available if needed. For this reason, the Adidas HR
department carried out several tasks regards to its employees that involve training, career
development, retirement services and recruiting etc. It is one the most significant aspects that
deals with the employment advertise and recruiting. In regard to this, the Adidas carry out the
HR planning for some reasons that will be described below: -
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It understands where the skill gap in the company: - The skill gap is one of the biggest
issue that are mainly faced by most of the firm. It is related to finding out the skilled worker
to fill the vacant position to meet the organisation's requirements. The HR manager of Adidas
struggling with this issue in daily routine work (Mügge,2016). For this reason, it is more
important for the HR department to identify the skill gap that directly affect the organisation
at various levels.
Labour Turnover: The Labour turnover in each organisation is different in each year but it
cannot be easily eliminated. The firm should hire a new candidate on the vacant position at
that person whom it left that position in regard to this, Adidas used HR planning to forecast
the turnover rate so, it recruits and train the individuals (Purce, 2014). It performs the work at
new position and ensure that they will not be suffer in future time period.
Assessing needs: HR Planning is more essential for the Adidas to ascertain whether
there is deficit or surplus of labour within the organisation. Therefore, if the lesser candidates
in the firm as per the requirements it will direct impacts the work adversely. Beside this, if the
applicants who are employed is more than the requirement then it will enhance labour cost.
For this reason, it is necessary for the company to carry out the HR planning that will ensure
that the employment done effectively by proper workforce planning.
2.2 Outline the stages involved in planning human resource requirements
Human resource is basically staffing or manpower needed to perform operations in
organisation. It is an on-going process that consist of various steps that need to be followed
accordingly are stated below:
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Analysing Organizational Objectives: Under this stage, Adidas determines the goal and
objectives of the company for identifying the HR requirement in every department like
production, marketing, finance and others (Franceschet and Piscopo, 2014). Analysing Goals
gives an idea of actual position of the company in market and also helps to know how many
efforts are needed to perform better.
Inventory of present human resources: After analysing the position of the
company, Adidas need to estimate a current number of employees working and their skills
and capabilities in order to fill job requirements (Tan, 2014).
Forecasting demand and supply of Human Resources: In order to fill job
requirements HR Manager of the company need to estimate internal and external sources for
job description and job specification on one specific work.
Estimating Manpower Gaps: In this step Adidas HR manager needs to compare
demand and supply of human resource that will give a surplus or deficit of HR. Adidas can
also make use of training and development programme in order to upgrade skills of already
working employees in the company.
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Figure1. Steps of Human Resource Planning

Formulating Human Resource Action Plan: This plan gives an estimate of surplus
or deficit human resource in the company which in turn helps in recruiting and terminating.
Monitoring, Control and Feedback: Lastly, the HR Manager needs to execute the
human resource action plan (Armstrong, 2014). Allocation of resources needs to be done as
per the requirements, inventories are updated, and plan is monitored continuously for the
smooth functionality.
2.3 Comparison on recruitment process in two organisations
It is more essential for the HR manager has adopt an effective recruitment procedure
to hiring the potential candidates within the organisation. There are two company Dove
energy incorporation (Syria) and Adidas, the firm has adopted different recruitment process.
Recruitment process of Dove energy incorporation is described under:
Internal recruitment process: The Dove energy incorporation (Syria) adopt internal
source of recruitment to fill the vacant position. (Bamberger, Biron and Meshoulam, 2014).
At the hiring procedure of individuals, the company first given offer to the current employed
people within the firm.
It is one the most significant sources that will provide an opportunity to the existing
individual for the career development. There are mainly two ways to hire fill the job position
are promotion and transfer of existing staff worker. The Dove energy incorporation adopt the
process of promotion in which they shift their existing employee at a higher position. For this,
they initially evaluate the worker performance and then they promote them at the vacant
position.
Apart from this, company also adopt an effective way to recruit the new candidates by
employee references. For this, the placing information into the internal advertisement in
which they fill position through present employee's relative and friends.
Adidas recruitment process is as follows:
External recruitment process: Adidas adopts an external recruitment procedure to
put the right candidates at right place. For this, they provide a detailed job description and
person specification into the advertisement through several electronic and print media (Baum,
2016). Thereafter, they also recruit the candidates from the campus placement in educational
institutes in which they hire students. In this external recruitment process, they first screen the
application forms as per the requirement of organisation's needs.
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Further, company offers individual to come for interview and asked questions to
check their knowledge as well as capability. At last, the potential candidates are selected after
identification of skills required to perform a vacant position.
While, the Diadora Shoe making company focuses on recruiting employees as per the
job requirement. The company do not follow one particular process instead the company have
its own different format of hiring staff. The firm focuses on both type of recruiting process
which are internal and external recruitment process.
2.4 Evaluate the effectiveness of the recruitment and selection techniques in two firms
The Dove energy incorporation (Syria) applied the internal recruitment process in
which they hire the candidates from internally through promotion and employee referrals. In
the internal process, it saves plenty of time of a company in searching out the candidates
outside the organisation. It will also save cost of job advertisement as there is no need to
placing the job description in electronic media (Brewster,Mayrhofer and Morley,2016).
Under this procedure, they identifying the required skills for a vacant job position from
internally within the existing employees. The effectiveness of internal source of recruitment is
that it gives the growth opportunities to existing workers. Thus, it will help the organisation to
retain its personnel efficiency. The benefits from this process for a company is that there they
can effectively develop the loyalty in employee towards the organisation.
On the other hand, the Adidas adopts the external recruitment process in that they use
job advertisement to pool the candidates to fill the vacant position. It is one the best and
easiest way to attract a larger number of applicants for a shorter time period (Kramar, 2014).
The effectiveness of this process is that it will increase the organisation's branding from
hiring candidates externally. It will able them to bring the new ideas, knowledge and
capabilities workforce within the organisation. It is a lengthy process and time consuming but
it is more effective than the internal recruitment process.
In contrary, Diadora focuses on hiring individual as per job requirement and does not
follow any process like Dove and Adidas. Further, the process helps the company in hiring
different kind of people with different abilities and skills.
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TASK 3
3.1 Assessing the link between motivational theory and reward
Motivation plays an important role in increasing the confidence level of retain the
employees. There are some motivational theories adopted by Adidas that will be described as
below:
 Maslow's theory of motivation: Maslow proposed a hierarchy that state that to fulfil
the needs of the individual within the organisation at each level. The lowest tier of
pyramid of this hierarchy is related to the basic physiological needs such as salary and
stable employment (Mäkelä, Kinnunen and Suutari, 2015). The next level of pyramid
depicts the safety needs of an employee within the organisation that involves job
security, fair work practices and pension etc. As one proceeds to the higher level, the
needs start converting from basic to luxurious. The highest level of pyramid states
self-actualisation needs; a person puts all his efforts to achieve the highest level of
pyramid. For this, the company fulfil the needs of individuals at higher level through
provide them worker challenges and workplace autonomy etc. This theory is applied
at the workplace in order to motivate employees to work in full swing.
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