ALDI's HRM: Recruitment, Selection, and Employee Relations

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HUMAN RESOURCE MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................................4
OVERVIEW OF COMPANY............................................................................................................................5
TASK 1(LO1-LO3).........................................................................................................................................6
PURPOSE OF THE HR FUNCTION..................................................................................................................6
ROLES AND RESPONSIBILITIES OF THE HR FUNCTION.................................................................................9
DIFFERENT METHODS USED IN HRM PRACTICES AND THEIR EFFECTIVENESS...........................................12
EMPLOYEE RELATIONS AND EMPLOYEE ENGAGEMENT AND THEIR IMPACT ON DECISION MAKING.......14
INTERNAL AND EXTERNAL FACTORS THAT AFFECT HUMAN RESOURCE MANAGEMENT DECISION-
MAKING INCLUDING EMPLOYMENT LEGISLATION....................................................................................15
TASK 2 (LO4)..............................................................................................................................................17
JOB ADVERTISEMENT............................................................................................................................17
JOB DESCRIPTION..................................................................................................................................18
 Answer politely to customers query..................................................................................................18
CURRICULUM VITAE..............................................................................................................................19
PREPARATORY NOTES...............................................................................................................................20
JOB OFFER LETTER.....................................................................................................................................21
RATIONALE................................................................................................................................................22
CONCLUSION.............................................................................................................................................23
REFERENCES..............................................................................................................................................24

INTRODUCTION
This assignment based on human resource management relates with purpose of HRM in a
manner it fulfill business objectives. Human resource management is a practice of recruiting,
hiring and managing peoples in an organization. Managing people at work is an art so that they
can work for increasing organization effectiveness; this process includes planning, directing,
staffing, controlling and motivating (Noe et al., 2017).
Assignment covers two tasks, first which broadly focus on human resource functions, its
purpose, roles and responsibilities, in a manner human resource functions help in achieving
business objectives. Also discussed approaches to recruitment and selection and their strength
and weakness. Second part focuses on benefits of HRM practices within an organization for
both employer and employee and raises organizational profit and productivity.

OVERVIEW OF COMPANY
ALDI is a private retail company of Germany founded on 10 July 1946 founded by two brothers
Karl and Theo Albrecht , headquarter in Essen Germany (Aldi Nord)
and Mülheim Germany (Aldi Süd). ALDI group owns more than 10000 stores worldwide .Their
products are Food, Beverage, Household essentials and Sanitary Products.

TASK 1(LO1-LO3)
PURPOSE OF THE HR FUNCTION
HUMAN RESOURCE FUNCTION
Human resource function is designed to formulate and implement strategy for employees of
organization, contribute maximum support to its employees so that overall effectiveness of
organization is increased. HR functions are betterment of both employees as well as
organization, HR department is responsible to guide management and employees both, it fulfill
many needs of employees covers all finance and legal matters. It helps people to communicate
and co-ordinate with each other supports individual development and increases understanding
amongst all. (Keegan, Anne ,2018)
Broadly HRM functions are divided into two:
a. Managerial functions
b. Operative functions
Figure 1: Functions of HRM
[Source: (Keegan, Anne ,2018)

]
MANAGERIAL FUNCTIONS
Planning:
It is the first step if doing anything, planning is future course of action, activities are decided
what has to be done and how it is done, formulations of policies is based on planning. For hiring
candidates in an organization in advance manpower planning is done, for upcoming projects
analysis of man power is done in advance and planning for their hiring starts. (Keegan,
Anne ,2018)
Organizing:
Formulate and Compile things in a systematic way to form a structure for proper allocation of
work are organizing, it then delegates authority to individuals and work accordingly. After
planning next steps comes of organizing to execute the plan in proper manner organizing is
done.
Staffing:
It is a process by which human resource department select individuals for organization, this
process includes recruitment and selection strategy , what type of people is hired and how to
train them. Different approaches of recruitment and selection covers here company can
approach its existing staff for bigger opportunities else can do placement drives .
Directing:
Directing is the process to manage employees to get work done, it keeps motivating employees
to get work done.
Controlling:
To get things done as needed, to set the standards to achieve target and comparing actual
performance with the desired one comes under process of controlling. Overall function ing of
organization carry out proper or not comes under controlling, individuals can work but to
increase their performance controlling is done. (Keegan, et al ,2018)

OPERATIVE FUNCTIONS
Procurement:
Procurement is to hire right people at right time at right place it includes manpower planning,
recruitment, selection, orientation of new employees and process of transfer, promotion and
separation. (Keegan, et al ,2018)
Development:
To increase the knowledge, skills and values of employees training and development session is
organized in a particular interval of time to increase the efficiency of employees .Training
session is for every individual and development is for managerial level people .Performance
appraisal and career planning is also a part of development process.
Compensation:
Compensation is a wage and salary given to any employee in lieu of his services to organization,
Base to decide a salary of an employee is experience, location and type of work an employee is
doing. Basically wages is given on daily basis and salary is given monthly, it also includes Bonus
and incentives. (Keegan, et al ,2018)
Maintenance:
To protect and promote employees by providing some social security benefit schemes like
provident fund, gratuity, and pension. It is the duty of every organization to provide social
security schemes to keep employees motivated and to boost their morale .

ROLES AND RESPONSIBILITIES OF THE HR FUNCTION
Responsibility of human resource department is to coordinate with every employee of an
organization, it provide a link between employee and employer ,their objective is to hire best
employee for organization to achieve overall goal. Role of HR department starts from
recruitment hiring of candidates till selection procedure comes to an end then comes
background check and arrange orientation of new employees. Another important responsibility
of HR is retention they keep employees motivating always boost their morals look after towards
employee satisfaction. Maintain employee records related to joining, promotion, demotion,
transfer and retirement. Describe HR policies, procedures to new employees, worked on
completion of paperwork of new employees, circulate information of working time and
conditions , benefits , incentives to new employees and if there is some changes in existing
policies then circulated amongst all members . Formation of grievance handling committee to
address issues and complaints. Conducting training programs, assessment of training programs
and maintains records of training programs attended by employees maintain employee and
labor relations. (Keegan, et al ,2018)
FUNCTIONS OF HRM IN ACHIEVING BUSINESS OBJECTIVES
Above mention functions of human resource management will help ALDI in achieving overall
objective of the company, it is necessary to hire a talented workforce in an organization and
company can get skilled personnel by different sources of recruitment. Sources of recruitment
are internal or external. When company hire internally it saves the time and cost of recruitment
and less training is require to existing employee of organization and if company release
advertisement then can get variety of resumes to select from, get innovative ideas from new
joinings and further provide training and development sessions to them ,can give on the job
training or off the job training to increase the productivity, customer satisfaction and maximize
the profit. Every function of HRM plays important role as it guides, support individuals, and
protect their rights. (Keegan, et al ,2018)

APPROACHES TO RECRUITMENT AND SELECTION AND ITS STRENGTHS AND WEAKNESSES
Selection:
It is a process of choosing right candidate for a vacant position, first interviewing candidates,
evaluating their abilities then choose for required position, selection processes vary from
company to company. Selection is a negative process as some are selected and others are
rejected . (Ekwoaba, et al,2015)
Recruitment:
It is process of searching candidates. Shortlisting, screening of resumes, preliminary interviews
is part of recruitment process it is a complete process of employee hiring. Recruitment is a
positive process as candidates are shortlisted for further process. (Ekwoaba, et al,2015)
Sources of Recruitment
a. Internal recruitment
b. External recruitment
Internal recruitment:
Recruitment process which takes place within an organization is internal recruitment, company
gives opportunity to their existing employees for growth .
Like Promotion, transfer, re employment of ex-employees
STRENGTH WEAKNESS
 Easy to recruit
 Employees are familiar with
organization work.
 Existing employees get opportunity of
promotion and transfer.
 Less number of candidates to choose
within.
 Less number of new ideas.
 Some employees may get dis
appointed.

External recruitment:
Recruitment process which hires and attracts people outside the organization is external
recruitment in order to compete with other companies and get best candidate for our
organization. (Ekwoaba, et al,2015)
Like job portals, advertisement in newspapers, social media, and employment agencies.
STRENGTH WEAKNESS
 Lot of new ideas
 Large numbers of candidates to choose
within
 Chance to get more experience
candidates
 It is a time consuming and longer
process
 Costly as advertisement cost company
bears.
 High risk factor as new candidate
takes time to adapt organization
culture.
EVALUATION AS PER ORGANISATION
As per ALDI internal source of recruitment is best suited for the organization as it saves time of
recruitment and selection process, it is cheaper as compare to external source of recruitment as
it saves the cost of advertisement online and offline both. Existing employee knows or ALDI
work better that candidate comparatively in less time grasp more thing and training time also
get reduces as existing is already familiar with the policies and procedure of the company , risk
factor is also low with existing employees .
DIFFERENT METHODS USED IN HRM PRACTICES AND THEIR
EFFECTIVENESS
 Workforce planning

It assess the workforce supply and demand in an organization to achieve business goals ALDI is
using this approach to get the right number of candidates required in an organization at proper
time it is an important approach to balance supply and demand simultaneously. (Vanhala, and
Ritala, 2016)
 Recruitment and selection
It is the sole responsibility of HR department of ALDI to recruit and right candidate for an
organization, recruitment process may defer from company to company, here ALDI focuses on
internal sources of recruitment as it is time and cost saving and though effective for company .
(Vanhala, and Ritala, 2016)
 Training and development
Training and development is an important approach as a trained employee helps to increase
productivity of company, ALDI uses this approach, on the job training methods are used by
company it helps employees to get familiar with working culture easily and for managerial level
people development methods are used. (Vanhala, and Ritala, 2016)
 Performance management
ALDI uses the approach of performance management as to compete with others and to
maintain productivity and increase efficiency of company it is very important to perform well
and though performance of employees matters a lot for company, performance leads in
achieving business goals. (Vanhala, and Ritala, 2016)
 Reward system
To keep employee motivated and satisfied rewards are given by company it may be
monetary or non-monetary, rewards are benefits that employee get in return of their
services to any organization. HR in ALDI takes care of rewards given to their employees .

BENEFITS OF HRM PRACTICES
HRM practices provide benefit to employees and employer as it is the duty of HR department to
look after the needs of both management as well as employees. Various HRM practices
adopted by ALDI to support their employees resolve conflict and improve employee
performance and increase the profit ratio of the company. (Vanhala, and Ritala, 2016)
The benefit to the employee:
Certain HRM practices are adopted by ALDI to support employees and increase their
performance. They works towards employee satisfaction, motivation, grievance handling as to
solve the conflict arises due to some reasons to maintain organizational culture. Provide easy
schedule to work, arrangements for health and safety of employees. it results in increase in
productivity , profit and leads to achieve business goals.
The benefit to the employer:
HRM practices benefit to employer and management also as employee is working efficiently in
return employer is satisfied. HRM practices, policies are made keep in thinking benefit and
suitability of employees by the employer. Employer has the authority to solve the disputes and
look after towards all the matters of the company.
EMPLOYEE RELATIONS AND EMPLOYEE ENGAGEMENT AND THEIR
IMPACT ON DECISION MAKING
Employees are the backbone of any organization, employer and employee when both works
with coordination then only employment relationship between both is managed. To take the