A Report on Human Resource and Financial Strategies of Body Shop PLC

This report provides an overview of the human resource and financial management strategies employed by Body Shop PLC. It delves into the company's recruitment strategies, highlighting their focus on treating employees like customers and utilizing social media for talent acquisition. The report also examines the training and development programs designed to enhance employee skills and motivation, alongside the rewards and benefits systems in place. Furthermore, the analysis extends to Body Shop's financial management strategies, emphasizing their strong financial position and effective fund utilization. A profit and loss account and balance sheet are included to illustrate the company's financial performance, concluding that Body Shop's strength lies in its robust financial standing and positive employee-centric approach.

Introduction to
business studies

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK...............................................................................................................................................3
Human resource strategies ..........................................................................................................3
Recruitment strategies Body shop ..............................................................................................3
Training and development of the employees ..............................................................................4
Rewards and benefits ..................................................................................................................5
Financial management strategies ................................................................................................5
Profit and loss account ................................................................................................................6
CONCLUSION ...............................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Human resource management is related to the recruitment and management of the workforce in
the organisation. It is one one of the important management because all the activities related to
the workforce are conduct by this department. The main responsibility of this department is to
employee the best talent in the organisation so that the productivity can be increased. It is
important for the management of the management of organisation to established effective
relations between human resource department and other department of the organisation. The
organisation which is chosen here to demonstrate this report is Body shop plc. This report
provided us brief discussion related to human resource strategies of the management and also the
details related to their financial strategies. (Macke, and Genari, 2019)
TASK
Human resource strategies
Human resource strategies refers to the plan of the organisation under which the management has
developed strategies related to the workforce of the organisation in relation to their recruitment
and development. Human capital is one of the most important resource of the organisation
because the success and failure of the organisation are depending upon the effectiveness and
efficiency of their employees. It is the duty of the managers of the organisation to develop
effective strategies for the training and development of the employees so that the employees can
be work in the organisation with great motivation. There are many strategies are applied by the
management of Body shop and the brief discussion related to the same are given below:
Recruitment strategies Body shop
The recruitment strategies of the Body shop are one of the most attractive and unique
strategies followed by the organisation. The main objective of these strategies is to employees
the best talent in the organisation. The management of the Body shop has developed many
programmes in their organisation so that that more and more employees are attracted towards the
organisation. The brief discussion related to the strategies of management are given below:
 The management of the organisation has treated the employee as their customers of the
organisation. The employee are giving considerable respect and attention so that the
employees feel themselves important for the organisation. The management of the Body

shop has developed those environments in their workplace to provide support to
employees at any time. In last the employee gets equal importance which the company
given their customers.
 The management Body shop is one of those management which analyses the need and
importance of internet. It follows social media for their selection process. The
management of the organisation conducts the advertisement of job on social media
accounts of the company so that the talented employees can be linked with the
organisation from different parts of the world.
 The job description of the company is created so simple and understandable so that the
employee are not getting difficulty to finds them.
 One of the most important factor which attracts the employees towards the organisation is
the salary structure of the company. The pay structure of the organisation may be
effective from the competitors so that the employees are getting attract towards the
organisation.
Training and development of the employees
The work of the human resource department of the organisation are not limited to the selection of
the employees in the organisation but their training and management are also performed by them.
It is very important for the management of the organisation to provide proportioning to their
employees so that they can work in the organisation without any difficulty. The management of
the Body shop has many operations in their business which requires special skills in the
employees which is developed by the proper training and development of the employees. There
are some statements are present which provides information related to the training in Body shop
are given below: (Demirhan, 2020)
 The management of the Body shop has analysed the capabilities and strength of the
employees before providing them training. The employee are giving training according to
their strength and capabilities so that their strength can be maximise and weaknesses can
be minimised.
 The management of the organisation are not providing heavy training to the employees in
their initial day. The level of training are increases slowly according to the adaptability of
the employee so that the feeling of burden will not be faced by them.

 The management of Body shop has developed many new and advanced technology in
their organisation. These advance technologies are used by the trainers to provide training
to employee. The main advantage of these technology it reduces the efforts of trainers
and develop efficiency in training.
 The management of the organisation has organised many lecture and seminars in the
organisation which are taken by many field experts and business coaches. These coaches
has provide practical as well as theoretical knowledge in relation to management and
leadership in the employees.
Rewards and benefits
Only the training and selection of the employees are not sufficient for the performance
and development of employees in the organisation. The level of motivation are also important for
their performance of the employee in the organisation. The motivation of the employees of the
organisation are related with their needs. It is the duty of the managers of the organisation to
analyse the needs of the employees and try to fulfil them. The managers of the Body shop always
try to fulfil the needs of their employees so that they become motivated towards the achievement
of organisational goals and objectives. There are many programmes conduct by the management
of Body shop and the brief discussion related to the same are given below:
 The management of the Body shop has developed many rewards system in the
organisation. Those which reflects higher performance in the organisation are provided
many rewards by the company. This system provides two benefit to the organisation first
it motivates the winning employees to work effectively and other it motivates other
employees to gain rewards.
 There are many incentive schemes are conduct by the organisation under which the
employee are giving targets by the managers. If these targets are achieved by the
employees the they are providing many benefits in term of money (Armstrong and Taylor,
2020).
Financial management strategies
It is related to those strategies which is developed by the management of organisation to
determine the sources of funds and also the management of these funds in the business
operations of the organisation. It is very important for the management of organisation to

develop effective financial management so that the flow of funds can be made and their
management can be effective. The management of Body shop has specialised team which are
responsible for the management of fund and their utilisation in business activities. There are
some statements which provides information related to the financial management of the Body
shop are given below:
The funds are the most important aspect of the organisation under which all the activities
of the business require funds. It is very difficult for many organisations to manage considerable
funds for their business operation and lack of funds becomes the reason for their failure in the
organisation. There are many sources of funds are present with the organisation which are bank
loan, angel investors, seed funding and many more. It is very important for the management of
organisation to analyse these sources and chooses the most favourable for the company.
The management of the Body shop does not require these sources because the
management of the organisation has operated their business from many successful years. This
journey of the Body shop has developed the organisation and makes their financial position
strong. The balance of the company has many funds which is used by the management in their
expansion and other business strategies. The strong financial position of the balance sheet
enables the organisation to acquire new and advanced technology so that the management
becomes more competitive. It is important for the management of organisation to use their
position effectively.
Profit and loss account
PROFIT AND LOSS ACCOUNT
Particulars Amount Particulars Amount
Opening Inventory
Purchases
Gross profit
12000
700000
202000
Sales
Closing Inventory
900000
14000
914000 914000
Advertising expenses
Salaries expenses
Electricity expenses
10000
50000
10000
Gross profit 202000

Telephone expenses
General expenses
Operating profit
9000
1200
121800
202000 202000
Balance sheet
Liabilities Amount Assets Amount
Bank overdraft
Creditors
Capital 354200
+profit 121800
20000
80000
476000
Land & building
Plant & Machinery
Vehicles
debtors
stock
400000
30000
22000
110000
14000
576000 576000
CONCLUSION
It is concluded from this report that the biggest strength of the Body shop is their strong financial
position which enables their management to achieve any financial strategy. The strength of the
human resource management of the organisation is their positive approach towards their
employees are concluded. This report concludes us that the financial crises becomes the reason
for the failure of the organisation in the market. This report concludes us brief discussion related
to human resource strategies of the management and also the details related to their financial
strategies (Armstrong and Taylor, 2020).

REFERENCES
Books and Journals
Armstrong, M. and Taylor, S., 2020. Armstrong's handbook of human resource management practice.
Brosnan, S., O’Donnell, D. and O’Regan, P., 2019. A performative exploration of the lifeworlds of human capital
and financial capital: an intellectual capital case vignette. Journal of Management and Governance, 23(2),
pp.321-344.
Cooper, B., Wang, J., Bartram, T. and Cooke, F.L., 2019. Well‐being‐oriented human resource management
practices and employee performance in the Chinese banking sector: The role of social climate and
resilience. Human Resource Management, 58(1), pp.85-97.
Demirhan, H., 2020. Integrated Public Financial Management Information Systems in Turkey. In Public Financial
Management Reforms in Turkey: Progress and Challenges, Volume 1 (pp. 215-228). Springer, Singapore.
Macke, J. and Genari, D., 2019. Systematic literature review on sustainable human resource
management. Journal of cleaner production, 208, pp.806-815.
Reger, M., 2018. Innovation and technology-strategizing the financial management future. The Journal of
Government Financial Management, 67(1), pp.60-61.
Richards, J. and Sang, K., 2021. Socially ir responsible human resource management? Conceptualising HRM
practice and philosophy in relation to in-work poverty in the UK. The International Journal of Human
Resource Management, 32(10), pp.2185-2212.