Resource Management in UK Businesses: ATHE Level 4 Report

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This report provides a comprehensive overview of resource management, focusing on the requirements, planning, and utilization of resources across various business sectors. It examines the importance of resources, including production, inventory, human resources, and information technology, within the context of agriculture, engineering, and call center businesses in the UK. The report delves into key factors essential for managing resources, the impact of resource wastage, and the significance of ethical and sustainable practices. It also explores the role of technological advancement and human resource planning, including theories of motivation and performance monitoring. A case study of International Meducare is analyzed to assess the use of physical resources and employee performance. The report concludes with findings on effective resource utilization and recommendations for improving efficiency and performance within organizations.
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Resource Management ATHE LEVEL 4
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Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1.1 Requirement of resources : ...................................................................................................3
1.2 The key factors which is essential in order to manage resources are :..................................5
TASK 2............................................................................................................................................6
2.1 Evaluation of how use of physical resources is monitored and managed : ..........................6
2.2 Impact of resource wastage....................................................................................................7
2.3 Cost of high profile technological failure : ...........................................................................9
2.4 Use of ethical and sustainable resources..............................................................................10
TASK 3..........................................................................................................................................11
3.1 Need for human resources planning : ................................................................................11
3.2 Application of theories of motivation in workplace ...........................................................12
3.3 Method used for monitoring and improving employee performance :................................13
3.4 Effectiveness of reward system in different context............................................................15
TASK 4..........................................................................................................................................15
4.1 Utilization of physical resources against performance measure and methods....................16
4.2 Analyse data on Employee performance at International Meducare...................................17
P3. Findings on effective use of human and physical resources................................................18
4.4 Recommendations for improving efficiency.......................................................................18
CONCLUSION .............................................................................................................................19
REFERENCES..............................................................................................................................21
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INTRODUCTION
Resources are essential part of a business. Here resources refer to production resources,
inventory, human resources, natural resources and information technology. And an organisation
need to undertake resource management activity in its function. Resource management is an
effective and efficient way of managing the resources of an organisation. This report highlights
the requirement of resources in three different industrial sectors namely Agriculture Business,
Engineering business and call centre business of UK and the key factors that are essential in
maintaining resources in the firms associated with the three different industrial sectors. Further,
this report discusses the impact that wastage of resources in the three different business types and
also emphasizes on the use of ethical and sustainable resources for production process. The
importance of technological advancement and human resource management has also been
discussed in this report.
The next section of this report discusses the case study of International Meducare, an Ngo
and the utilization of physical resources in the process of improving performance. An analysis on
the performance of employees along with the interpretation of findings related to effective use of
human and physical resources has been made. Lastly, recommendations for improving the
performance and efficiency have been made in this report.
TASK 1
1.1 Requirement of resources :
Resources are important part in project management. Resources are required for
an organisation to as it helps in increasing wealth, enhancing well being and to produce benefit.
The resources helps the business to reach markets, earn revenues, maintain relationships with
customers etc.
Organisation can be categorised as
Sole trader : Sole trader is a person who is entitled to take all the profit after tax as well as bear
the loss associated.
Limited company : A limited company can be private limited as well as public limited. Such
type of company a owner is legally responsible for the debt which is as per the capital he/she has
invested in company
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Public sector company : The companies which are owned and run by a government. Such type
of company usually work for the welfare of society.
Based on sector the companies can be divided as
Private sector : In this sector the company is owned by individuals or companies and it is not
governed by the government. The purpose of such type of organisation is to earn profit.
Secondary sector : the organisation which performs the activities such as manufacturing,
processing and construction. Such type of company takes the product from secondary market and
then after processing pass it to the end consumers.
Territory sector : this type sector generally provide services to customers instead of goods.
Services include entertainment services, retail services, financial services etc.
These three type of sector has been explained by following examples :
Agriculture business : Farmers are facing a huge challenge in almost every sector in order to
improve productivity and preserving resources.
However Arla which is a farmer owned dairy company in UK make efficient use of
resources. In order to run a business properly both physical as well as human resource are
necessary for a business to achieve success. The company manages its resources well. The key
assets or resources of a Arla is its human resource(Brewster, 2017). Undoubtedly it is one of the
most important resource which is required by the organisation. As the company is leading in a
market by doing partnership with Asda, therefore the one more most essential resource of a
company is intellectual resource. Here intellectual means proprietary knowledge, copyrights,
customer database, partnership and patents.
Agriculture business comes under primary sector which involves production of raw materials,
such as coal, wood, corn and coal. The other resources required by Arla are
Dry and cold place for storage
Availability of soil and water
Mechanization tools
latest infrastructure etc.,
Engineering business : Good win steel casting company which is located in England. The
company is in the engineering business. The company is producer of high alloy. the key resource
which the company require are finance resource and human resource.. As the company has to
invest large amount in production process of alloy therefore finance resource is essential for the
organisation. The company comes under the secondary sector of economy as the process
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involves transformation of raw materials or intermediate products into final goods. Therefore in
order to convert steel into final goods or to process steel. The labor is required by the business in
order to manage its business operations such as handling machine, managing different
departments etc. Other than finance and human resource the other resources which the company
require are iron ore, machine for recycling, a well managed supply chain etc.,
Call centre business : A call centre business which is 24/7 outsourced UK call centre. The
company provides consist of persons or professional who are specialised in wide range of
sectors. The company provides a great help to its client in order to grow their business. These
types of business comes under the tertiary sector as it involve supplying of services to customers
or to a business. The key resources of 24/7 outsourced UK call centre is human and technology.
The people of a company are their essential and most important resource. The knowledgeable
and expert individuals helps the organisation to run its business smoothly(Bratton and Gold,
2017). They play the main role in achievement of company's goal. Secure network system, legal
framework, satellite system, a team for CSR i.e., customer services representatives are some
other resources which is required by 24/7 outsourced UK call centre.
With respect to project management three attributes has to be taken in consideration are
process, attributes and techniques. Resource management is an important activity of business
which is used in order to estimate resources and human resource needed in managing project.
There are various software tools which is used by companies in order to manage project. The
tools help the company in to ensure that their remain an efficient employee in the organisation.
These tools help in allocating different resources in order to make the project successful.
1.2 The key factors which is essential in order to manage resources are :
A company has to carry various different business functions in order to run it and make it
successful(Brooks, Wang and Jambeck, 2018). The various day to day activities such as
delivering services, payment of debts, managing inventory and providing products to client are
some basic activities of a business.
As a researcher of department of environment, the various tool can be suggested which
will help the company to manage resources.
The various tools are :
Logical decision in order to purchase products and services
Computer aided supply chain systematic
Management of inventory with systematic approach
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Calculation and management of cash conversion cycle
proper payment of supplier and managing a healthy relation with them
Some crucial elements and requirements of resource management are :
Resource plan : it is the initial stage of project management. The plan must contain all aspects
and attributes including resources which is need in order to start the project.
Resource breakdown structure : Resources or activities is than break in such a way that they all
align in order to complete the project. Or in simple words project is breakdown into small
activities which are assigned with resources and specific time for particular activity after
completion of one activity other is started and in this way project is completed.
Resource levelling : If any imbalance occurs in work than the resources are again distributed to
balance it. Or it can be defined as a technique which is used in project management.
Resource histogram : It is tool which is used in order to produce project management software it
helps to allocate resources in project plans.
The other requirements are companies should have direct compliance with legislation. As
all the three companies Arla, 24/7 outsourced UK Good and win steel casting company all have
one common important resource which is human resources. Therefore it is highly required by all
the three companies to follow health and safety law. The companies should have proper
management information system as it will help to have better communication in the departments.
TASK 2
2.1 Evaluation of how use of physical resources is monitored and managed :
Physical resource are essential for almost every type of company as it helps the company
to perform day to day activities. Therefore it is necessary for a business to make proper use of
physical resources.
The company should provide opportunity to the people who are working with them to
provide information about the type of physical resources required by the organisation. The
company should develop a plan which should include the trends in a market, past experience and
analysing the factors which can affect the business in future. Then company should present this
plan to the people of the organisation(Chen and et.al., 2018).
Arla tries to involve its every employee in the decision-making process. The company
ask for suggestion and feedback form its employees at regular interval. The company ensures
that various resources which are essential for a company is available in appropriate quantity. In
order to evaluate the use of physical resources company give opportunity to its team member to
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take responsibility so that physical resource can be used by them efficiently. The company
monitors the quality of physical resource at regular interval. Various monitoring method is used
by a company in order to evaluate the use of physical resources. Monitoring the use of physical
resources help the company to take correct and proper action at time, it also help the company to
keep records of various physical resources which has been used earlier.
The monitoring methods can be used in order to monitor resources. The monitoring method
should be such that which match the plan of organisation and team.
Resource management software :
In order to monitor physical resource the company can make use of resource management
software. The resource management software help company to manage its resources properly
and improve overall performance of organisation. Time wax resource software is one of the
example of resource management tools. This software help manager to share the planning of
resources with their employees with the use of company calendar system or with the use of
mobile application. Such type of software help company to schedule various projects, generating
work schedule, and producing weakly schedule. Such type of software will help company to
make use of resources as per the requirement and also helps the company to successfully
compete task with proper use of these resources.
Buying and ordering system: It is an effective component of inventory management. It will help
company to monitor existing stock and determine that what to buy, when to buy and how much
to buy. It will help company to reduce supply cost.
Just in time management: This strategy help in alignment of raw material from suppliers with
production schedule.
Stock control systems: This system help companies to manage inventories, shipping, receiving,
warehousing, turnover, reordering etc. This system help company to monitor and manage
physical resource.
2.2 Impact of resource wastage
Agriculture business
The main resource of agriculture business is water, seeds and land fertility. But the
availability of water is becoming a challenge now a days. The farmers are not getting enough
water in order to grow their crop. The reason behind the scarcity of water is wastage of it. As the
water is not available in proper quantity it is affecting the production process and also the
companies who are in agriculture business also gets affected due to this.
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For example if we consider the case of Arla the company needs the physical resource
which the company require is a dry and cold place in order to store its product so that they can be
delivered to customer in a good condition. Therefore it become necessary for a company to have
the proper storage system so that its products remain fresh for a long time. But if the company is
unable to use it resource effectively then the company has to face a huge loss as it will result in
spoil of its products.
Engineering business :
Raw materials, plants, steels are some main physical resources which are need by a
company in engineering business. It is essential resources of a engineering business which
almost every company need who is in this sector.
Good win steel casting company also needs this resources in order to carry its day to day
activities. The wastage of this resources will not only affect the companies profitability but it
will also affect the society as well. The wastage of resources will also creates a negative image of
company in society which can also be a cause behind loss to a company. Solid waste
management is a major problem which the various countries is facing.
Call centre business :
In order to perform daily activities of an call centre company the main resources which
are required is networks, team of experts, IT related tool etc. The wastage of resources or
negative use of resources affects the efficiency and performance of a business.
24/7 outsourced UK call centre will also get affected by a wastage of its resources as a
company needs a human resource because this is most essential resource which the company
requires. The loss of human resource or wastage of their skills will result in loss of customers.
The company can achieve success and can hold its position in a market for long if the company
make use of its resource efficiently.
Regardless of the type of a business it can be said that negative use of physical resource
or wastage of physical resources results in reduction in amount of sale, employees morale get
reduced, inefficiency of manufacturing process etc.
If the organisation produce much waste than it will result in increase in business cost. In
order to manage waste company can train its employees to make the proper use of resources in
order to avoid wastage of resources.
Waste creates a negative impact on business activities. It results in wastage of
technology and other resources of organisation.
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2.3 Cost of high profile technological failure :
The technology is changing rapidly therefore in order to be competitive in a market
almost every business and every company need to make use of advanced technology. The
company has to make a huge investment on technologies as the cost and spending associated
with technological equipment and process is quite large(Ritz, Brewer and Neumann, 2016). If the
company fails to make a proper use of it or fail to manage the technological equipment it can
result in huge loss to a business. Technology is important in almost every business now a days.
For example, if any of the three business i.e., agriculture business, call centre business or
engineering business fails to provide proper training to the employees of the IT department such
as training related to how to manage and avoid security threat, security protection, and how to
avoid cyber crimes may result in huge loss to company.
However the failure of technology is becoming common now a days. The companies are
facing such type of business on daily basis. It is becoming difficult for a companies to smoothly
run technologies in order to carry day to day business operations.
Example : In a research it was found that a singly technology failure can cost upto loss of euro
6.9 million. As a result of this about half of organisation face the loss of brand equity or market
share.
As per the recent studies it has been found that over the period of 12 months about 4 out
of 5 large scale organisation have been failed due to increase in implication of technology. Some
organisation find it difficult to make use of technology when it comes to providing online
services. In order to deal with such situation many organisation take the help of third-party such
as social media integration, online security features and ad servers.
In year 2015 royal bank of Scotland has experienced in high profile failure of technology.
The bank suffer from a huge loss payments of 600,000 customer the reason behind this is IT
crash. While in year 2017 British airways has suffered from a failure of euro 80 million. The
reason behind this is failure of technical systems.
The other example can be of NHS computer system: it was found that computer which was used
in NHS is of bad and low quality as per the 2 academics. The devices which was used in hospital
such as MRI scanners, dialysis machine etc., are unnecessarily buggy and are susceptible to
cyber attack. And it was found that about 100 to 900 deaths were occurred due to computer
mismanagement or due to technological failure.
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2.4 Use of ethical and sustainable resources
Business profile: Business profile represents overview of a company and its operations. Arla
group operates in dairy industry. The company was founded in year 2000. it is the largest
producer of dairy products in Scandinavia. It is the 4th largest dairy company in world.
Marketing advantage and Competitor advantage: Arla has its owned creative media agency
which is known as The Barn. It help company to react fastly on market trends. It help company
to bring creative production and media advertising. Its direct marketing software provides it
competitive advantage. The company provide milk powder, yogurt, cheese in about more than 70
dairies all around the world.
Ethical resources
Every business has to follow ethics in order to take correct course of actions.
The various factors is included in order to do the business ethically. The factors are process of
business, production process and behaviour of business with its employees, communities,
suppliers and other stakeholders.
Sustainable resources
Arla group tries to maintain sustainability in the environment. The company make sure to
have such activities in its working which does not create negative impact on society. Arla group
tries to address various quality matters and ethical issues in a responsible and sustainable manner
in order to build the company reputation and maintain profitability.
Ethical issues and sustainable resources :
It is necessary for every business to perform its business activities by keeping in mind the
various ethical values. If the resources are not used in the proper manner than it can create a
negative impact on environment. The companies who perform activities by keeping in mind the
various ethical and sustainable issues also helps the company to create better image in the
market. In order to make the sustainable use of resources company should prevent waste and
control, should monitor the use of natural resources and should try to save energy.
It is needed that organisation should utilize the resources in a different manner so that
organisation may gain more profitability. The company can use less cash out flow by using the
resources in a proper way. Each organisation has its different value system.
The major challenge which organisation face now a days is to carry the business process
with ethics. Usually the customer get attracted to those organisations which run their business on
ethics.
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TASK 3
3.1 Need for human resources planning :
Planning and management of human resource within the work environment is the most
important factor of strategic human resource management. The effectiveness of human resource
within the organisation can be increased with the help of providing proper training to them.
Need of HR planning and its effect on business
HR planning is needed in order to analyse the shortage and surplus of humans which help
in taking the quick action. It also helps in analysing the current talent available in market and
accordingly plan the training programme in order to enhance the skills and knowledge of
employees. HR planning helps organisation to identify current supply of employees, and to
determining the future workforce, and to make balance between demand and supply. It will also
help to reduce staff turnover. The HR should try to look at the employment trend and make the
changes in its HR planning accordingly.
Effect on business : If the human resource are properly managed within the organisation than it
will company to increases productivity and profitability.
The approaches behind suitable human resource planning are :
Assessment centres : this approach include delivery of presentation on a topic which is pred
determined by the applicants. As well as this approach also include interview and group
discussion, paper related work which has to performed by applicants.
Bio data : It is a process in which the application of candidate is selected on a particular criteria.
The HR manager give points to the bio data depending upon the skills and abilites of individual
meeting the organisation or post requirements.
Validity of approaches : during the selection of candidate is selected based on certain approaches
such as verbal reasoning, spatial reasoning, numerical reasoning and mechanical reasoning.
Self motivation : During interview the candidate should be asked about their own perceptions
about a particular situation it will help them to find the motivation level of applicants.
The following company do HR planning in order to achieve organisational goal :
Arla group which is in agriculture business provide proper training to employees in order
to enhance their skills and make them learn new things. The manpower is the most essential
resource of a company. The company can increase the employees efficiency by conducting a
meeting and helding discussion on general affairs of business(Shim and Faerman, 2017.).
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The second business is engineering business where managers and engineers plays an
important role. Therefore the human resource department should plan proper activities in order to
increase their knowledge and make them more efficient.
Lastly the 24/7 outsourced call centre which is in call centre business requires a team of
efficient members in order to run the business operations including finance department. IT
department, sales department etc. It is essential for this type of business to satisfy their customer
in order to gain their trust and loyalty.
Therefore it can be said that human resource is essential for almost every type of business
and their efficiency can be increased by taking the above suggestions.
3.2 Application of theories of motivation in workplace
All types of organisation whether it is big or small a motivation plays an important role in
order to make the employees to drive towards the common goal. The application of various
motivation theory can help an organisation to motivate employees at work place.
Equity theory : This theory was proposed by Adams in year 1965. The people get
motivated if they are treated in equal manner.
Goal theory : The theory focuses on on the fact that performance as well as motivation
factor is directly related with the goals which has been set for an individual.
Maslow hierarchy of needs : this theory focuses on fulfilling the basic needs,
psychological needs, self esteem needs, safety needs, social needs of employees(Maslow
hierarchy of needs, 2019).
Arla group tries to fulfil all these needs of employees by providing them proper
training and giving them opportunity to learn more, fulfilling their basic needs by
providing fair salary, the company also provide reward and recognition to employees based
on their performance.
Herzberg two factor theory : According to Herzberg their are five factors which bring
satisfaction among people they are recognition, achievement, job itself, advancement and
responsibility.
Arla uses this theory in order to provide opportunity to employees for their
personal growth. The company also give recognition to its eligible employees by giving
them promotion.
Expectancy theory: As per Vroom's expectancy theory the behaviour of person results by
making a conscious choice among various different alternatives, the main purpose is to
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