Human Resource Management Report: Caffe Nero Case Study Analysis

This report provides a comprehensive analysis of human resource management (HRM) practices within the context of Caffe Nero, a UK-based coffee house chain. The report begins with an introduction to HRM, emphasizing its importance in managing manpower and enhancing productivity. It examines the purpose and functions of HRM, including job analysis, training and development, and performance management, and discusses their benefits for Caffe Nero in reducing employee turnover. The report then delves into recruitment and selection processes, differentiating between internal and external recruitment methods and their respective advantages and disadvantages. Furthermore, it explores the application of various HRM practices, such as training and development, reward management, and flexible work options, and their impact on employee and employer benefits. The report also identifies and evaluates relevant employment legislation, including health and safety regulations, and suggests their implementation within Caffe Nero. The study also includes the development of job descriptions, person specifications, and job adverts for a customer service role, along with a selection procedure. Finally, the report evaluates employee relations and their influence on the decision-making process within the organization, concluding with recommendations for improving HRM practices at Caffe Nero.

Human resources
management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1. Purpose and function of human resource management...........................................................1
2. Application of HRM practices and its benefits ......................................................................4
3. Identification and evaluation of employment legislation .......................................................6
TASK 2 ...........................................................................................................................................6
1. Job description, person specification, and job advert.............................................................6
2. Selection procedure for customer service job role .................................................................8
3. Rationale of HRM practices in the relevant work related context .........................................8
4. Critical evaluation of employee relation and its inferences on decision-making process ....8
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
The concept of human resource management is regarded as one of the essential
department within an organisation as it directly connected with manpower and organisation
potentiality in acquiring high level of productivity. The term human resource management is link
with those process where it empower an establishment to utilise the available resources and also
to take right decision in terms of placing the manpower in a correct position. Along with this,
this section is also obliged for creating a better working culture as well as to enhance individual
potentiality with an aim to accomplish the pre determined goal in an effective way. In regard of
this report, Caffe Nero has been considered as it well established and reputed coffee house in UK
industry (Baum, 2015). It is founded in the year of 1997 and serve different varieties of
beverages and desserts in a healthy and clean style. However, it undergoes with an issue of high
employee turnover and low staff morale that negatively influences its overall productivity ratio
among competitors. Hence, by conducting this study it enable organisation to understand the
significance of human resource management by elaborating its purpose and function, implication
of HRM practices and its benefits to employees and employers. Moreover, identification of
various employment legislation and application of HRM practices in work related context by
developing job description, person specification and job advert.
TASK 1
1. Purpose and function of human resource management
In an organisation , the core element for its success and growth is highly talented
personnel who are capable to put their best contribution and deliver novel ideas towards an
accomplishment of business objective within prescribed time duration (Sparrow, Brewster and
Chung, 2016). However, HRM is a defined as those section which is concerned with managing,
recruiting, training, developing, motivating, analysing and evaluating employee and company as
well in order to attain sustainable growth among competitors. In context of this study, Caffe
Nero makes an initiative to acquire deeper understanding of HRM purpose and function so that
they can take best decision towards reducing the employee turnover ratio within its business
premises.
Purpose

Placing right people: This is one of the essential purpose of HRM as it assist company to
acquire skilled or potential personnel that benefit them to enrich its overall profitability ratio. In
relation to Cafee Nero, its take an initiative in identifying each manpower skill or interest and
based on that delegate them roles and responsibilities. Due to such action, it enable firm to
provide increased level of personnel satisfaction and also encourage each employee to retain
within Cafee Nero for longer time duration (Snell, Bohlander and Morris, 2015).
Maintaining workforce: Under this component, it is signifies that building and
developing a healthy relationship enable organisation to manage a positive working
environment . However, Cafee Nero prepare different growth platforms and motivate its
subordinates to take participate in business activities. Hence, by such kind of effort, it aid Cafee
Nero to hold its existing employees within company and also empower firm to obtain increased
level of subordinate contribution towards business long term vision.
Function
Job analysis: This section plays a crucial role in recruitment and selection, job
description, job evaluation procedure as it drive company to analyse, evaluate and identify each
manpower capability also ensure that whether it matches with organisation standard. In this
context, Cafee Nero determine every applicants skill, capacity, talents and based on that place
them in a right position (Brewster, Mayrhofer and Farndale, eds., 2018).
Training and development: In this determinant, it is relate with those aspects in which it
states that developing personnel hidden talents and skills and encouraging them to impose full
effort towards company's activities. In this relation. Cafee Nero provide enormous opportunity
and alos also conducts various training and development programs which help them to examine
manpower strength or weakness. Moreover, it also assist organisation to empower its
subordinates to overcome their shortcomings in an improved way that benefits Cafee Nero by
minimising the employee turnover ratio.
Performance management: This elements encompasses evaluation of employee
performance and rendering evaluate or suitable suggestions in order to cope up with drawbacks
in an amended way. In regard of Cafee Nero, they take an initiative to analyse its manpower
presentation and also compares with organisational standards. With the help of such action, it
motive establishment to provide accurate feedbacks or reviews in order to boost employees
morale and performance in an impressive way.

Henceforth, the above signified purpose and function of HRM impose huge benefits to
Cafee Nero as it help them to analyse its manpower interest and capacity and also lead them to
assign reliable responsibility. Due to such initiation, it empower Cafee Nero to minimise the
issue of employee turnover rate as well as aid them to strengthen subordinates morale in a
positive way.
Recruitment and Selection Process
These two elements are vital function in every organisation yet each of them differ from
each other in terms of roles, responsibilities, features. In aspect of recruitment, it defines that
choosing the right person and placing them in a correct position at best time. On the other hand,
selection is refer to those activity in which company select a pool of candidates from larger
number of population with an intent to fill the vacant job position. In context of Cafee Nero, it
make use of both recruitment process i.e. internal and external so that they can easily overcome
the issue of employee turnover rate and strengthen subordinates morale (Shen and Benson,
2016).
Internal recruitment
This kind of recruitment are concern with those procedure in which organisation hires
manpower within the company. Some of the types are employee referral, promotions, transfers,
temporary to permanent and etc. The rationale behind this selecting this process because
managers are already well aware about each manpower skill or potentiality that help them to take
best decision in terms of placing candidates in right position. Some of the advantages and
disadvantages are as follows:
Strength
Save time and cost: From applying internal recruitment, Cafe Nero is privileged to reduce
the training cost as the hired personnel are from organisation who are already well aware about
organisational culture and system (Cascio, 2015).
Decrease employee turnover: The another major advantage that internal recruitment
render to Cafe Nero is that minimising the arising factor of subordinates turnover rate as it help
them to analyse its current employees performance and also empower them to put them in a
higher position.
Weakness

Lack of fresh perceptive: In this, the major weakness which Cafee Nero acquire from
internal recruitment is that it restrict establishment to obtain new and fresh applicants for
accomplishing business objective.
External recruitment
In this, it is related to those procedure in which company recruit personnel from outside
the business premises. Some of its types are utilising social media advertising, job fare,
recruitment agencies and many more. However, by making use of external recruitment it help
Cafe Nero to reach large number of applicants in a better way. Some of its pros and cons are as
follows:
Advantage
New talents: The primal strength that Cafe Nero obtain through external recruitment is
that it aid them to obtain several new and highly skilled manpower within their functional units.
Moreover, it also assist them to acquire novel ideas or thoughts that benefits company by
enlarging its profitability ratio.
Disadvantage
Time and cost consuming: One of the major shortfall of this activity is that it contains
very large process that incur huge expense over Cafe Nero in order to hire suitable personnel for
specified vacant job position.
However, the above explained recruitment process signifies that proper utilisation of
resources at optimal level enable Cafe Nero to acquire highly capable and potential candidates
who plays huge role in an enlargement of firm's proficiency ratio (Chelladurai and Kerwin,
2018).
2. Application of HRM practices and its benefits
For accomplishing the desired organisational vision or objective in a better way, HRM
practices contains a significant role as it lead establishment to maintain a better relationship
between employee and employer. Some of the HRM practices of Cafe Nero are as follows:
Training and development: This component signifies that identifying personnel skill or
potentiality and also arranging a suitable platforms for overcoming the weakness in order to
render improved level of employee morale. In relation to Cafe Nero, this practices over both
employer and employee (Noe and et. al., 2015).

Benefit to employee: This HRM practices enable Cafe Nero's manpower to improve their
hidden talents or skills like communication, decision making and many more. Moreover, it also
empower them to build long term relationship with their co workers in a effectual way.
Benefit to employer: It assist Cafe Nero's manager to obtain best performance and
contribution of its subordinates towards business objective that help organisation to improve its
overall productivity and profitability ratio (Noe and et. al., 2017).
Reward management: This aspect is concern with analysing individuals presentation and on the
basis of that rewarding the fairly with an aim to motivate and satisfy personnel in an amended
way. In relation to Cafe Nero, some of its benefits are:
Benefit to employee: A fair and best rewards system enable Cafe Nero's personnel to
obtain high level of encouragement and also lead them to retain within business function for long
term basis. Moreover, it also drive them to take participate in all business activities and also aid
them to acquire effective level of morale.
Benefit to employer: Under this, it motive Cafe Nero's superior to analyse its personnel
performance and also assist them to make best decision in term of rewarding monetary benefits.
Due to such initiation, it aid Cafe Nero to tackle over the issue of high turnover rate and
unsatisfied employee morale.
Flexible work option: Every workforce are very much concern about working hours as they
desires to have friendly and collaborative working culture as well as flexible working duration.
The benefits of this HRM practice over Cafe Nero are discussed below:
Benefit to employee: It help Cafe Nero's personnel to obtain high level of satisfaction
from working culture because flexible working hours empower them to put their full potential in
a cooperative and collaborative style (Cogin, Ng and Lee, 2016).
Benefit to employer: Under this component, it help Cafe Nero to retain its productive
manpower and also aid them to minimise the issue of absenteeism of employees. With the help
of this, company can increase its productivity ratio and also can boost personnel morale in a
positive mode.
Hence, the preceding explained HRM practices to obtain high level of profitability and
productivity ratio and also lead them to enlarge their market share or size in an amended way.

3. Identification and evaluation of employment legislation
In order to cope up with the issue of high employee turnover ratio and also to strengthen
the workforce morale in an improved mode. Some of the employment legislation that Cafe Nero
can implements into its business function which are are as follows:
Health and safety: Under this legislation, it is concern with those element which states
that every employee are obliged to get safe working environment in term of hygiene, safe and
clean working surface. For example, if Cafe Nero applies this legislation into its business
function, it help organisation to render proper dress code and also empower them to motivate its
subordinates to wear gloves and caps while serving the food to its consumers. Due to which, it
assist Cafe Nero to enhance its sales performance as all manpower will be maintaining better
safety measures that drive firm to attract large number of consumer towards the brand.
Compensation and wages: This act states that employees must get fair reward according
to their performance and skill. However, if Cafe Nero implies this act into its functional unit that
enable them to analyse its employees potentiality as well as motivate them to provide best
reward system which benefit them to decrease turnover ratio (Gatewood, Feild and Barrick,
2015).
The above discussed various employment legislation demonstrates that proper application
of appropriate laws or act enable Cafe Nero to build a better relationship with personnel in an
effective manner. Moreover, it also empower them to implement best strategic decision in favour
of employees and organisation growth. Furthermore, such initiation help Cafe Nero to manage
work life balance in an amended way.
TASK 2
1. Job description, person specification, and job advert
Job description:
This element is regarded as a written documents which encompasses tasks, roles,
responsibilities, duties of a particular position. Moreover, this analysis considers the areas of
knowledge, skills and abilities which is required to perform a specified job in a productive style
(Jabbour and de Sousa Jabbour, 2016).
Person specification:

It is a description of qualification, skill, experience, knowledge and attributes that every
selected candidate need to be perform for specified job role. Additionally, this specification has
been derived from job description and forms the foundation of recruitment procedures.
Job advert
It is a process of advertising certain job position in the form of print or electronic
notification with an aim of filling the vacant job position in an improved or trenchant mode.
Customer Service
South Wales
£22,213 - £25,195 a year
Cafe Nero
Permanent
Recently
Role: Customer Service
An exciting opportunity in Cafe Nero which is one of the flourishing company in London who
always seeks for creative, innovative and collaborative personnel who can express novel ideas
for the improvement of company and also to keep positive relationship with clients in an
improved way. Additionally, the main purpose of Cafe Nero towards this profile is to evolve
individuals current skill set in a leading and growing firm.
Key responsibilities of Customer Service
 Coordinate couriers, publications and conferences.
 Set meeting rooms and lunches.
 Responding to phone calls in a fast and professional manner as well as managing a busy
switchboards.
 Doing other general administrative duties( ordering supplies, downloading, distributing
post and so on)
Key requirements of Customer Service involves:

 Experience in human action with variety of people.
 Expertise in handling with a busy switchboards.
 Ability to perform multitask in a stipulated period of time.
If you are interested in this role, please apply.
Contact: Aaron George
Reference: Totalijobs/56894423/001
Job ID: 553348932
2. Selection procedure for customer service job role
The selection procedure for customer service job role is:
Step 1: Attracting right candidate through various sources like advertisement in newspaper,
magazines, social media, internet and many more.
Step 2: After inviting all applicants for the post of customer service after that Cafe Nero's HR
enter into screening process where its analyse individual strength and weakness in order to
determine whether a candidate will be able to do the job in a perfect way.
Step 3 : Finally, after screening the manpower potentiality, then Cafe Nero HR conduct
interview in which they come up with final decision of hiring a candidate for the role of
customer service (Hecklau and et. al., 2016).
3. Rationale of HRM practices in the relevant work related context
The core reason behind practising HRM practices is that it enable Cafe Nero to examine
manpower potentiality and also lead them to put best candidates in a right position. With the help
of this, it empower organisation to enhance its proficiency ratio and also drive them to retain
manpower for longer time duration.
4. Critical evaluation of employee relation and its inferences on decision-making process
Maintaining and managing efficacious employee relation enable Cafe Nero to reduce the
the work load and also lead them to avoid the issues of conflicts among employees in a better
way. Furthermore, fair employee relation help organisation to implement best strategic decision
in order to gain competitive advantage among competitors.

CONCLUSION
It has been summarised from the above explained report that the role of human resource
management is considered as an integral component that empower establishment to manage,
motivate, recruit and train employees in order to accomplish the goal in a prescribed time
duration. Moreover, implication of best recruitment process help organisation to put right
candidates in correct position that improves profit margin ratio among rivalries. Furthermore,
application of suitable employment legislation help establishment to build better relationship
with personnel and that drive firm to overcome the issue of turnover ratio and lack of employees
morale.

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