Human Resource Management Practices at Apex Hotels Ltd: A Report

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Desklib provides past papers and solved assignments for students. This report analyzes HRM at Apex Hotels.
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Hum
an
Reso
urce
Mana
geme
nt in
Apex
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Table of Contents
Introduction...........................................................................................................................2
LO1..........................................................................................................................................3
1.1.........................................................................................................................................3
1.2.........................................................................................................................................6
LO2..........................................................................................................................................8
2.1.........................................................................................................................................8
2.2.......................................................................................................................................10
LO3........................................................................................................................................12
3.1.......................................................................................................................................12
3.2.......................................................................................................................................14
LO4........................................................................................................................................15
4.1.......................................................................................................................................15
Conclusion..........................................................................................................................17
Reference List....................................................................................................................18
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Introduction
Human Resource management is an integral part of all the business whether large or small.
It deals with everything related to the management of human resources in an organisation
with a focus on the achievement of organisational goals and objectives (Armstrong and
Taylor, 2014). The assignment focuses on the aspects of Human Resource Management in
the UK Hospitality Industry from the context of an HR management Trainee. The hospitality
organisation in context is the Apex Hotels Ltd based at Edinburgh, Scotland, UK. Apex
Hotels Ltd was founded in 1996 by Norman Springford. It currently owns twelve
contemporary 3 and 4-star hotels and it's a known name in the midscale Hotel Properties.
The operations of the Apex Hotels Ltd span across 5 cities in the UK that includes London,
Dundee, Edinburgh, Bath, and Glasgow. The company employs over 1000 employees
across the five cities where it runs its operations with an annual turnover of £68.9 million.
Apex Hotels Ltd started with a Hotel in Edinburgh and currently, it has four hotels in London,
Five hotels in Edinburgh, and one each in Bath, Glasgow, and Dundee. The report will
consider human resource management at Apex Hotels Ltd.
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LO1
1.1
Human Resource Management - Importance
Human Resource Management can be defined as the organisational function that deals with
different aspects of organisational human resources. Different functions handled by the HR
function involves the staffing activities such as recruitment, Training activities such as
induction and employee development training, payroll, performance appraisal, employee
relations, employee motivation, employee related legal framework, etc. The importance of
human resource management for an organisation irrespective of its area of operation is as
follows (Armstrong and Taylor, 2014)
Fulfil the Human resource requirements of the organisation – The HR department
looks after the recruitment process and it proactively engages in identifying the need
for Human resources and fulfils it as and when required. It also lay-off employees if
the employees are in excess. So, the HR department ensures the balance between
the demand and supply of human resources in an organisation (Cascio, 2015).
It enhances organisational productivity and profits – The HR of an organisation
ensures inducting human resources that are suitable for their respective roles and
focuses on keeping the employee motivation high. These factors enhance their
individual productivity and hence the organisational profits (Cascio, 2015).
HR ensures that employees are suitably motivated and the employee turnover is low.
HR looks after the employee appraisal and the reward system for performing
employees. This is another tool for maintaining high employee motivation and
productivity levels.
HR function ensures the adequate skill levels of the employees through training and
development programs.
HR function handles the conflict resolution and promotes the team working and
efficiency thereby contributes to the achievement of the organisational goals and
objectives (Armstrong and Taylor, 2014).
Roles and Responsibilities of HRM in Apex Hotels Ltd
Service Industry is entirely focused on providing services to the customers and seeks high
levels of customer satisfaction. Hotel Industry being a part of the service industry is no
exception. The primary focus of the HRM in service organisations like the Apex Hotels Ltd is
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recruiting and training employees with a command of service and communication skills to
ensure high customer satisfaction levels. The primary roles and purpose of the HRM in Apex
Hotels Ltd is divided into the following areas (Armstrong and Taylor, 2014)
Compensation, Benefits, and Rewards
Performance Appraisal
Employee Relationship
Recruitment and Selection
Training and Development
Determining and Assigning Employee Roles and Responsibilities
Adherence to industry, legal and organisational frameworks and guidelines regarding
Human Resources or Compliance
1: Roles and Purpose of the HRM at Apex Hotels Ltd
Recruitment and Selection
HRM
Recruitment and
Selection
Compensation,
Benefits, and Rewards
Performance
Appraisal
Employee
Relationship
Training and
Development
Employee Roles and
Responsibilities
Compliance
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This is the principal aspect of the role and purpose of the HRM at Apex Hotel Ltd. The
specific requirement of efficient communication and customer handling is a prerequisite of
the hotel industry. In addition, additional skills may be required depending upon the role of
the employee. The HRM at Apex Hotel is focused on attracting the candidates suitable for
the job profile and selecting the right candidate for the job. This aspect also includes creating
and furnishing the job contract as per the organisational and legal policy. Another aspect is
identifying the potential human resource requirement and recruiting or relieving the
employees as per the organisational requirements (Cascio, 2015).
Training and Development
The induction of a new employee to familiarise them with organisational policies, practices,
individual roles, and responsibilities is an important function of the HRM at Apex Hotel.
In addition, The HRM at Apex Hotels ensures the compliance of the organisational, industry
and legal framework and guidelines. The HRM is also responsible for coordinating with
different departments to implement performance appraisal and monitoring system. The
Roles and purposes of HRM are manifold and integral for the smooth operation and growth
of a Hotel Company like Apex Hotels Ltd.
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1.2
Human Resource Planning for the Apex Hotels Ltd
The human resource planning or HRP can be defined as a process that focuses on
predicting the potential human resource requirement of an organisation on the basis of the
demand and supply concept in terms of human resources. This is an important process
since it ensures the smooth operation of the organisational function while confronting the
changes in the business environment (Noe et al., 2017).
The human resource planning of Apex Hotels involves the following five steps
Human Resources Assessment
The first step of Human Resource Planning is the assessment of the current
availability and use of human resources. It includes compiling the current strength if
the organisational human resources on the basis of a number of factors such as age,
competency, numbers, performance, compensation, etc. this stage also involves
interaction with managers to determine their view and feedback about the critical HR
issues and necessary manpower capability for the basic business operation (Noe et
al., 2017).
Assessment of
Human
Resources
Forecasting -
Demand,
Supply
Matching
Supply and
Demand
Workforce
Gaps
HR Plan
Human
Resource
Planning
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Forecasting – Demand and Supply
The second step of Human Resource Planning involves predicting the potential
manpower requirements on the basis of different known human resource variables
such as employee turnover, promotion, retirement, lay off, transfers, etc. The
analysis also considers unknown human resource variables such as resignations,
sudden dismissals, competitive factors, etc. The predicted demand for manpower is
considered on the basis of the current availability of manpower to create a Demand
forecasting. The demand forecast is aligned with the goals and objectives of the
organisation by keeping in view the long-term organisational goals and objectives
(Noe et al., 2017).
Workforce Gaps
The workforce Gaps is the conclusion of the analysis of Manpower Demand and
Supply. It indicates whether there's a need for additional workforce or surplus of the
workforce (Noe et al., 2017).
HR Plan
On the basis of the analysis of demand and supply forecasting and the resultant
Workforce Gaps, the relevant HR plan is chosen and implemented. The HR plan will
be focused on recruiting or retaining the manpower if there’s a potential need of
Workforce and it will be focused on reducing the workforce if there’s a surplus of
manpower either by transferring, change of department, or layoffs. The HR plan can
be of a number of different types such as talent acquisition, recruitment, and
relocation on the basis of requirements indicated by analysing the demand and
supply forecasting (Noe et al., 2017).
The analysis of the supply and demand is an integral part of the HR planning since it
facilitates the identification of procurement cost of human resources and their availability
within the hotel industry (Noe et al., 2017).
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LO2
2.1
Employee Relations
The employee relations in an organisation can be defined as the relationship shared by the
employees and employers. Employee relations are a broad category that has a number of
aspects such as compensation, benefits, working conditions, recognition, rewards, etc. The
importance of employee relations can be understood by the fact that the state of employee
relations of an organisation can have a direct influence on its productivity and profitability
(Hon et al., 2013).
Employee Relations in the Hotel Industry
A hospitality company that owns and manages hotels such as the Apex Hotels Ltd is a part
of a labour intensive industry. There are a number of different departments in a hotel such as
the front desk, housekeeping, maintenance, room service, kitchen, etc. These departments
together influence the customer's opinion and their experience in the hotel. Customer
satisfaction levels play a critical part in the growth and profitability of a hotel. The state of
employee motivation, willingness to work and effectiveness are crucial factors that influence
their performance and thereby the customer satisfaction levels. These are a reflection of the
state of employee relations indicating the critical nature and importance of the employee
relations for a service-oriented organisation (Hoque, 2013).
The state of employee relations of an organisation like Apex Hotels based in the UK has the
following aspects and contexts
Trade Unions
The trade unions are a major influence in the UK service industry. They are considered to be
the representative of their member employees and are a huge influence on the employer-
employee relationship of an organisation. The Unions being the representative of the
employees as a whole has the collective bargaining power on behalf of the employees and
many times they ensure the rights of the employees but sometimes this leads to frictions
between the employees and the employer. Many levels of the Apex Hotel employees have
an association with one trade union or other but their current influence on the hotel is less
than moderate (Hoque, 2013).
Organisational Culture
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The culture of an organisation is another aspect and influencer of employee relations. The
organisational culture at Apex Hotels is focused on creating a coordinating, understanding,
and cooperative environment. The HR at Apex and its management consider human
resources as valuable and treat them in a similar manner (Hoque, 2013).
Conflict Resolution
It’s a purview of the HR manager and the superior of the employee. The focus of the HR at
Apex Hotels always focuses on prompt resolution of conflicts through equal participation and
a focus on conflict resolution. Also, they focus on solving employee problems at the earliest
to facilitate employee performance and productivity. Another part of conflict resolution and
problem solving are the Grievances and Disciplinary Procedures. The disciplinary
procedures are executed as per the organisational and legal guidelines. Apex Hotels Ltd
have a predefined structure and guideline in place to handle such matters (Hon et al., 2013).
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2.2
Employment Laws and Their Influence on Human Resource Management at Apex
Hotels Ltd
The UK labour market was considered to be one of the most unregulated ones. The
employment laws were incorporated with the sole purpose of safeguarding the employee
interests due to the unequal distribution of power in an employer-employee relationship. The
goal of various safety laws was to safeguard the employee interests against gender
discrimination, unfair wages, unfair dismissal, overworking, the risk to health, etc. The
employment laws served twofold purposes, one being instilling fair treatment and practices
in the workplace and second, being the promotion of competition and flexibility while
safeguarding both employer and employee interests (DeNisi et al., 2014).
The employment laws that fulfil various purposes include the race relation act of 1976, Sex
discrimination act of 1975, the employment act of 2002, Disability discrimination act of 1995,
Equal pay act of 1970, minimum wages act, health and safety law, dismissal law etc. These
employment laws safeguard employee interest while safeguarding employers from unjust
claims and pressure tactics (Honeyball, 2014). The human resource management at the Apex
Hotel Ltd is responsible for ensuring the compliance of the legal framework hence it's
responsible for ensuring the compliance of various employment laws. Some of the
Employment Laws are discussed below that have a major influence in the formulation of
Apex Hotel HR policies and processes
Sex Discrimination Act - Apex Hotel as a company ensures complete compliance of this
law (Honeyball, 2014). This is indicated by the above industry average of women employees
in the employee mix. The law prevents discrimination on the basis of gender in employment
opportunities and promotion considerations.
Equal Pay Act - Apex Hotel ensures equality of pay on the basis of industry averages
irrespective of the gender or physical aptitude of the employee (Honeyball, 2014). The only
basis of compensation is associated with the performance of the employee.
Health And Safety At Work Act - The Company ensures a risk-free and healthy working
environment for its employees (Honeyball, 2014). It ensures the availability of protective
attire and equipment for its employees in hazardous situations. Safety indicators and signals
are placed at various places in the hotel premises that can be used during a hazardous
situation like a fire outbreak.
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Work Time And Minimum Wage Regulations - The Company is liable to provide minimum
hourly wages on the basis of the standards expressed in the minimum wages regulations. It
also respects the requirements of the work time regulations except when the employee opts
out of the stipulated maximum of 48 hours working a week (Honeyball, 2014).
To ensure the compliance of the employment laws, the HR professionals at Apex Hotels
need to have a basic understanding of employment laws. The company also employs legal
counsel for comprehending the finer points of these laws to ensure complete compliance
and to represent itself in cases of violation in the tribunals.
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